Tragedy of the Commons: meaning and example
English
Tragedy of the Commons
A situation in a shared-resource system where individual users act independently according to their own self-interest and behave contrary to the common good of all users by depleting or spoiling the shared resource through their collective action.
“Overfishing in international waters is a classic example of the Tragedy of the Commons.”
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More words from Economics III
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A model that identifies price factors according to the premise that price is determined both by internal characteristics of the good being sold and external factors affecting it.
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A condition of slow economic growth and relatively high unemployment – a time of stagnation – accompanied by a rise in prices, or inflation.
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Laffer Curve
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Structural Unemployment
Unemployment resulting from industrial reorganization, typically due to technological change, rather than fluctuations in supply or demand.
Endogenous Growth Theory
A theory that economic growth is generated from within a system as a direct result of internal processes.
