Levels of environmental decisions

The language of decision theory is used to model the perspectives of two parties in the management of an environmental hazard. These are (a) individuals whose homes are polluted by radon by-products which thereby pose an uncertain health hazard and (b) the public authorities concerned about those individuals' welfare. The analysis provides a way of anticipating ways in which the perceptions and decisions of these parties are intertwined, as well as how they can come into conflict. It also suggests ways in which these difficulties might be ameliorated by altering the respective decision problems. The heuristic value of modeling decision problems in other contexts is discussed, with brief consideration of the substantive issues arising with acid rain and seatbelt usage.