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Suitability of Decision-Theoretic Models to Public Policy Issues Concerning the Provision of Shoreline Stabilization and Hazard Management

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Abstract:

This article examines the suitability and potential advances of decision-theoretic models from finance regarding investment decisions in shoreline stabilization projects. A set of scenarios represents the dynamics of the decision-state facing the planner and identifies factors that should be incorporated into the decision-making process. It is shown that decision models from finance can account for the risk and uncertainty inherent in shoreline stabilization projects, potentially suggest improvements and refinements to presently used cost-benefit analysis procedures, and offer new tools that can aid in decisions concerning provision of shoreline stabilization. The outcomes of these scenarios justify better planning and control of existing and future building, and that of poststorm policies. Lastly, these models allow us to explore the range of our understanding of coastal processes and interactions with shoreline stabilization projects and can identify new and useful data needed in coastal management and hazard management decisions.
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