Bayesian decision analysis for environmental and resource management

Abstract During the last two decades, much of the theoretical and practical advances in Bayesian decision analysis have been closely linked to the adaptation of emerging new computational — usually Artificial Intelligence — techniques and to progress in computer software, respectively. This paper documents and discusses experience on the use of two recent network model approaches, influence diagrams and belief networks, and relates those approaches to decision trees. They both allow probabilistic, Bayesian studies with classical decision analytic concepts such as risk attitude analysis, value of information and control, multi-attribute analysis, and various structural analyses. The theory of influence diagrams dates back to the early 1980s, and a variety of commercial software are on market. Belief network is a more recent concept that is under process of finding its way to applications. Illustration on environmental and resource management is provided with examples on freshwater and fisheries studies.

[1]  Edward H. Shortliffe,et al.  A Method for Managing Evidential Reasoning in a Hierarchical Hypothesis Space , 1985, Artif. Intell..

[2]  Colin Howson,et al.  Bayesian reasoning in science , 1991, Nature.

[3]  Abraham Wald,et al.  Statistical Decision Functions , 1951 .

[4]  Elizabeth C. Hirschman,et al.  Judgment under Uncertainty: Heuristics and Biases , 1974, Science.

[5]  Peter Szolovits,et al.  Categorical and Probabilistic Reasoning in Medicine Revisited , 1993, Artif. Intell..

[6]  S. Kuikka,et al.  Uncertainties of climatic change impacts in finnish watersheds: A bayesian network analysis of expert knowledge , 1997 .

[7]  R. M. Oliver,et al.  Influence diagrams, belief nets and decision analysis , 1992 .

[8]  Sakari Kuikka,et al.  Bene-Eia: A Bayesian Approach to Expert Judgment Elicitation with Case Studies on Climate Change Impacts on Surface Waters , 1997 .

[9]  Judea Pearl,et al.  Fusion, Propagation, and Structuring in Belief Networks , 1986, Artif. Intell..

[10]  Peter Norvig,et al.  Artificial Intelligence: A Modern Approach , 1995 .

[11]  Daniel P. Loucks,et al.  Reliability, resiliency, and vulnerability criteria for water resource system performance evaluation , 1982 .

[12]  Olli Varis,et al.  Belief networks for modelling and assessment of environmental change , 1995 .

[13]  J. Neumann,et al.  Theory of games and economic behavior , 1945, 100 Years of Math Milestones.

[14]  Sakari Kuikka,et al.  Analysis of Sardine Fisheries Management on Lake Kariba, Zimbabwe and Zambia - Structuring a Bayesian Influence Diagram Model , 1990 .

[15]  Olli Varis A Belief Network Approach to Optimization and Parameter Estimation in Resource and Environmental Management Models , 1995 .

[16]  R. Cassen Our common future: report of the World Commission on Environment and Development , 1987 .

[17]  M. Merkhofer The Value of Information Given Decision Flexibility , 1977 .

[18]  Sakari Kuikka,et al.  Joint use of multiple environmental assessment models by a Bayesian meta-model: the Baltic salmon case , 1997 .

[19]  Olli Varis A Belief Network Approach to Modeling of Environmental Change: The Methodology and Prospects for Application , 1994 .

[20]  Glenn Shafer,et al.  Readings in Uncertain Reasoning , 1990 .

[21]  David J. Spiegelhalter,et al.  Local computations with probabilities on graphical structures and their application to expert systems , 1990 .

[22]  Judea Pearl,et al.  On Evidential Reasoning in a Hierarchy of Hypotheses , 1990, Artif. Intell..

[23]  Simon French,et al.  Applied Decision Analysis. , 1985 .

[24]  D. Warner North,et al.  A Tutorial Introduction to Decision Theory , 1968, IEEE Trans. Syst. Sci. Cybern..

[25]  Ronald A. Howard,et al.  The Foundations of Decision Analysis , 1968, IEEE Trans. Syst. Sci. Cybern..

[26]  Daniel G. Bobrow Artificial Intelligence in Perspective: A Retrospective on Fifty Volumes of the Artificial Intelligence Journal , 1993, Artif. Intell..

[27]  J. Pratt RISK AVERSION IN THE SMALL AND IN THE LARGE11This research was supported by the National Science Foundation (grant NSF-G24035). Reproduction in whole or in part is permitted for any purpose of the United States Government. , 1964 .

[28]  Max Henrion,et al.  Uncertainty: A Guide to Dealing with Uncertainty in Quantitative Risk and Policy Analysis , 1990 .

[29]  Eric Horvitz,et al.  Decision theory in expert systems and artificial intelligenc , 1988, Int. J. Approx. Reason..

[30]  O. Varis,et al.  Bayesian influence diagram approach to complex environmental management including observational design , 1989 .

[31]  Sakari Kuikka,et al.  Modeling for water quality decisions: uncertainty and subjectivity in information, in objectives, and in model structure , 1994 .

[32]  R. L. Keeney,et al.  Decisions with Multiple Objectives: Preferences and Value Trade-Offs , 1977, IEEE Transactions on Systems, Man, and Cybernetics.

[33]  Roger Slater,et al.  Quantitative methods for business decisions , 1985 .

[34]  Prakash P. Shenoy,et al.  Propagating Belief Functions with Local Computations , 1986, IEEE Expert.

[35]  Paolo Zannetti Computer methods and software for simulating environmental pollution and its adverse effects , 1993 .

[36]  Ronald A. Howard,et al.  Readings on the Principles and Applications of Decision Analysis , 1989 .

[37]  W. Edwards,et al.  Decision Analysis and Behavioral Research , 1986 .

[38]  J. Stedinger,et al.  Robustness of water resources systems , 1982 .

[39]  P. Wathern,et al.  Environmental Impact Assessment: Theory and Practice , 1998 .