Four friends who love to ski decide to pool their financial resources and equally share the cost of a one-week timeshare unit in the Blue Mountains of New South Wales. Unfortunately the unit does not come with maid service. Everyone values clean dishes, but the fact that unwashed dishes pile up in the sink would best be explained by an economist who understands that clean dishes in the cupboard reflect:

Question

Quizplus · Accepted Answer

This is a common resource problem, where everyone assumes that someone else will clean the dishes and hence no one takes responsibility. It is a classic example of the tragedy of the commons.

Four Friends Who Love to Ski Decide to Pool Their