Section 1 & 2 - Tragedy of the Commons and Externalities

What is the "Tragedy of the Commons"?

It is the depletion of a shared resource by individuals acting in their self-interest, despite it being contrary to the group's long-term interests.

Name examples of common resources.

Clean air, forests, open ocean and its fish, migratory birds, Antarctica, ozone, and space.

What are externalities?

Externalities are costs or benefits of a good or service that are not included in the purchase price of the product or service.

Why are negative externalities a concern in environmental science?

Because they lead to environmental damage for which no one bears the cost, such as pollution.