Based on the ideology of soil and water conservation and economic coordination development , it is successful for rural economic development pattern adaptation to eco-environment to be practiced in many villages of the middle hilly regions of the loess plateau. In order to expand the little scale successful pattern to larger areas, it is appropriate for a middle scale area to be instanced in Yanergou watershed. The progress and achievement of the industrial basement construct ion and agricultural development of the watershed from1997 to 2000 are mainly analyzed and summarized. After systematically evaluate the eco-envir onmental effect ,economic benefit and development sus tainability of Yanergou watershed's pattern, the authors think it is feasibleto establish rural economic development pattern adaptation to eco-environment in the middle scale areas .