Comprehensive Valuation of Environmental Cost Based on Entropy Weight Method

In the past few decades, economic decisions often exert an imperceptible influence on the biosphere. In order to get the real land use valuation of both small community projects and large national projects, environmental costs can be calculated by establishing a comprehensive valuation model. As fluctuations in the main indicators such as land area and biodiversity can affect the value of land use, we calculate the cost-benefit ratio with the comprehensive valuation model which is based on entropy weight method, and take both environmental costs indicators and economic factors into consideration. By using the model, we analyze the cases of Hong Kong Island and find out land indicator has the greatest impact on environmental costs. In general, if all the weights are variable, the deviation between the calculated indicator and the practical indicator will be narrowed. Land use project planners and managers can get recommendations from this model.