A bioeconomic model for dairy sheep was applied to a production system with one lambing per year. The classical extensive Carpathian system with indoor winter lambing, traditional weaning, sale of surplus lambs before Easter, and a summer milking period with ewes on pasture was modeled. The economic values of 15 performance and functional traits were calculated for the Slovakian Improved Walachian multi-purpose breed. The economic values per unit increase in the traits were 0.32 euro/kg of milk yield during the standardized milking period of 150 d, 0.29 euro/0.1% milk fat, 0.42 euro/0.1% milk protein, 0.28 euro/% and 0.56 euro/% for conception rates of female lambs and ewes, respectively, 0.20 euro/0.01 lamb born, 0.0036 euro/% and 0.0040 euro/% for lamb survival at birth and until weaning, respectively, 0.65 euro/kg of birth weight, 0.032 euro/g per d daily gain from birth until weaning, -0.030 euro/kg of mature weight, -0.38 euro/0.1 and -0.21 euro/0.1 conformation quality grade for weaned lambs and adult sheep, respectively, 0.42 euro/kg of fleece weight and 11.10 euro/year of productive lifetime for ewes.

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