This study purpose is to conduct an economic valuation of Papantiri forest management, as well as forest and agricultural/settlement pattern that implemented in agroforestry region. Research location is Papantiri Forest of Muna District. Research duration was from July to October 2009. This study uses primary and secondary data that obtained by using several techniques such as: observation, interviews, documentation and Forum Group Discussion (FGD). Cost and benefit analysis is used to calculate forest area management (including the benefits of externalities). Economic benefits calculation include direct and indirect benefits (externalities), NPV, BCR and IRR. Research results show that economic valuation of Papantiri forest degradation, a conflict area for 10 years period from 1989 to 1999, is Rp. 142,014,271,700.00/year. Analysis results of economic valuation at Papantiri forest management model is more favorable in terms of both economic and ecological alternative to use second alternative namely to apply to community-based agroforestry pattern. It shown by NPV value of Rp. 204,959,974,630.00; B/C ratio is 17.56 and IRR is 25.62%.