A concept · The Fabric of Society · Economics
Tragedy of the Commons
Shared resources get ruined by individually rational use.
The office kitchen is a mess and everybody in it is a decent person. The shared meeting room is always booked and never used. The group chat is unreadable because each of us posted only one more thing. Nobody was greedy. Each of us did what made sense, and the thing we all relied on quietly fell apart. If nobody is the villain, what exactly went wrong?
What Tragedy of the Commons means
The tragedy of the commons is what happens when a resource is shared and open, and each user, acting sensibly for themselves, takes a little more than the resource can bear, until it is gone for everyone. That is the definition. Owning it changes who we blame and what we try. We stop looking for the greedy one, because the well-meaning user faces the same sums as the careless one. We stop believing a plea to "be considerate" will hold, because whoever holds back watches the others take their share. We start asking what the others can see and what they have agreed to. Before, the empty fishery looked like a moral failure. After, it looks like a missing rule, and rules can be written.
Not to be confused with
The tragedy of the commons is a cousin of the free rider problem and the prisoner's dilemma, not a synonym. A free rider enjoys a good without paying for it. In the commons, everyone pays, through a shared resource that each of us has reason to use a little too much.
Tragedy of the Commons examples: where it shows up
- At work: the shared engineer, the shared budget, the shared inbox: everyone draws on it and no one is paid to protect it.
- With money: the public purse each of us wants a little more from, and the deficit that nobody chose.
- In the news: fishing fleets empty a sea that belongs to nobody, and each government is only defending its own boats.
Where it sits
Concept 2 of 5 in The Fabric of Society, a journey in the course How the World Works.
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