The essential cause of the tragedy of the commons is the fact that:
A)it can be difficult to solve the free-rider problem.
B)one person's use of a commonly held resource imposes an external cost on others.
C)when a resource has no price, it leads to a positional externality.
D)governments may not tax activities that generate negative externalities.

Question

Quizplus · Accepted Answer

The essential cause of the tragedy of commons is the fact that one person's use of a commonly held resource imposes an external cost on others by making the resource less valuable.

The Essential Cause of the Tragedy of the Commons Is