Formalizing a Two-Step Decision-Making Process in Land Use: Evidence from Controlling Forest Clearcutting Using Spatial Information

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17 February 2023

In this paper, we examine a particular case of land use pattern: forest management activities facing an uncertainty related to spatial information signals received. We investigate the combination of two well-known theoretical approaches, the Blackwell theorem and entropy analysis, in providing a decision support framework for decision makers. We examine the uncertainty related to the information signals received within a decision support context and compute the optimal actions. Drawing on satellite imagery as an additional source of information provided by French spatial data infrastructure (SDI), we illustrate our approach through a clear-cutting control case study. The control of clear-cutting is a central issue in forest management. In order to perform an efficient control operation, uncertainty regarding the decisions to be taken needs to be minimized. Reducing uncertainty in a decision-making context related to forest management provides greater opportunities for improving productivity and for saving time and money. The results show that the information structure through the SDI signals has the most significant information power. Moreover, a maximum of two information structures can be compared when applying the Blackwell theorem. However, while using the entropy approach, a comparison of several information structures can be performed.