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Forest is the main part of terrestrial ecosystem, with multiple functions such as self-restraint water, soil and water conservation, diminish wind-power and sand-shifting control, carbon fixation and oxygen production, soil improvement, air purification, natural disaster reduction and biodiversity conservation. Therefore it is necessary to carry out studies on evaluation of benefits of ecological forest, so as to increase public awareness of the importance of forest, to protect forest ecosystem with economic means, to establish a green GDP account and to establish a superior forest ecosystem in the structure and function.Under the guide of utility theory and ecological Capital theory, taking substitution and simulation evaluation method, and Based on the data of 4 year-observations from monitoring net of benefits of ecological and public welfare forest in Zhejiang province, the values of economic products and ecological benefits such as self-restraint water, soil and water conservation, soil improvement, carbon fixation and oxygen production, microclimate improvement, natural disaster reduction, forest tourism and wildlife conservation, from 200 hectare key ecological and public welfare forest in Zhejiang province, were assessed and compared in this paper. The results were showed that the values of economic products and ecological benefits were 1.109 and 76.84 billion Yuan (RMB) respectively, which indicates that the value of ecological benefits is far higher than that of economic products, with a ratio 6.93 to 1. Compared with like-kind studies, this figure is somehow smaller. This may be related to inferior forest quality in Zhejiang province. The results provide a good reference for the establishment of compensatory approach for ecological benefits of forest.The study on value assessment on ecological benefits of forest involves many theories and approaches, therefore it is very complicated. Currently, though elementary theories and approaches for the study have been formed, they are not mature and fully accepted yet and a lot of improvements need to be made. Therefore, further studies should be carried out in the future.
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