Natural resources management especially agriculture land management at Keduang Sub-Watershed will be influence of environment quality, physic (erosion, sedimentation, and debit udKeduang River), chemistry (water quality) and socio economic aspect. This research aim to know udthe level of erosion that happened in Keduang Sub-Watershed and to know the economic value of uderosion in Keduang Sub-Watershed, Wonogiri Regency. udResearch method which is used is descriptive. Data types which are primary and secondary uddata from Centre of Research and Development Technology of Watershed Management Forestry udDepartment, BPS-Statistic of Wonogiri and Agriculture Department of Wonogiri. Method of udanalysis’s data which is used in this research is Universal Soil Loss Equation (USLE) Method to udpredict the soil erosion and to calculate the economic value of erosion, this research used udReplacement Cost. udResults of this research are: the level of erosion in Keduang Sub-Watershed is 44 ton/ha/year udand the economic value of erosion in Keduang Sub-Watershed is equal to Rp. 138 billion/year in udupper sub-watershed (on-site impact) which consist of replacement cost of soil equal to Rp. 38 udbillion/year and replacement cost of nutrient content equal to Rp. 100 billion/year. In off-site of the udsub-watershed is equal to Rp 2 billion/year but up to Rp 1.260 billion in a long time
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