Abstract: The contingent valuation method (CVM), an effective approach to evaluate environmental goods (public goods) widely used by the western countries has been systematically introduced. Based on a large amount of references and authors existed studies on this aspect, the characteristics and value implication of environmental goods are explained, the concepts, features and framework content of CVM are summarized, the types of bias in CVM application are analyzed, the existed applications of CVM in the world and in China are concluded and the applicable potentiality and the prospect are presented. 

Key words: environmental goods, public goods, valuation, contingent valuation method(CVM)