Utilizing Decision Analysis and Game Theory in Resolving Conflicts in Albania

Abstract

The purpose of this article is to present and analyze the most frequent and serious conflicts and disputes that have accompanied many important infrastructure projects in Albania and to emphasize the importance of applying decision analysis methods and game theory principles to their best resolution. Disputes over land and water rights which are caused by the implementation of infrastructure projects such as airports, roads and highways rank as the most severe in Albania. Also, the construction of hydropower plants has also caused serious disputes and conflicts, especially in regions with considerable tourist potential and/or in protected natural areas. Unfortunately, Albanian society and its institutions have not yet managed to formulate a rational and effective model for addressing such issues that can serve the common good and the social justice. Decision analysis is a very useful tool to analyze and understand such complex situations, where many factors and conflicting interests are involved. Game theory, on the other hand, serves to explain how the involved actors use different strategies to get the best possible benefit from the game/project and, by that influence the other actors. The combination of game theory and decision analysis can improve our understanding of how conflicts relate to the behavior of the actors involved in Albania and how conflicts can be resolved efficiently with the participation of the state, local institution, and other organizations. This study will try to contribute by providing an analysis of the problems as well as providing a theoretical basis for the development of efficient strategies for the management and resolution of such conflicts in Albania.