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Home / Photogrammetric Engineering & Remote Sensing, Number 1 / January 2003

Open Access Making the Trade-Off between Decision Quality and Information Cost

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Agrowing problemconfronting users of remotely sensed imagery is whether the use of additional or different imagery to improve decision quality is actually justified by its cost. This paper discusses how to compare these competing factors so that an acceptable trade-off may be made between them. The proposed method is based on probabilistic cost-benefit analysis. The concept of “value of information” is introduced in a practical case study using remote sensing to verify farmers’ declarations for a crop subsidy program in the European Union. Application of the method requires that (1) the problem at hand can be represented by a decision tree, (2) the desirability of each decision outcome can be expressed numerically, (3) the imagery reveals information about the occurrence of events not under the decision maker‘s control, and (4) the probabilities of these events and the extent to which they are detectable in remotely sensed imagery can be assessed.

Document Type: Research Article

Publication date: 01 January 2003

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  • The official journal of the American Society for Photogrammetry and Remote Sensing - the Imaging and Geospatial Information Society (ASPRS). This highly respected publication covers all facets of photogrammetry and remote sensing methods and technologies.

    Founded in 1934, the American Society for Photogrammetry and Remote Sensing (ASPRS) is a scientific association serving over 7,000 professional members around the world. Our mission is to advance knowledge and improve understanding of mapping sciences to promote the responsible applications of photogrammetry, remote sensing, geographic information systems (GIS), and supporting technologies.
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