Which of the following would be considered a common resource good?

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BlackTom AI · Accepted Answer

Let’s break down what each option represents in terms of resource characteristics and public economics principles.
Option a: a congested public park. This fits the profile of a common resource because it is non-excludable (people can usually access it without paying) and rivalrous (one person’s use reduces the park’s availability to others, especially when it’s congested). The key issue with such resources is the tendency toward overuse and congestion without proper governance or rules.
Option b: electricity consumption by a household. This is excludable (providers can meter and bill) and rivalrous in the sense that one household’s consumption does not typically directly diminish another household’s access to the same unit of electricity within the same billing cycle, but the private nature and ability to exclude mean it is not a common resource. It’s best categorized as a private good or possibly a club/public utility depending on context, but not a pure common resource.
Option c: cable television. This is excludable and non-rivalrous up to the point of bandwidth limits, often treated as a club good (excludable, non-rivalrous for most consumers). It is typically provided under a subscription model and does not fit the non-excludable criterion of common resources.
Option d: bottled natural mineral water. This is excludable and rivalrous (you can prevent others from drinking your bottle, and your consumption reduces the supply available to others). It is a private good, not a common resource.
Summarizing the contrasts: common resources are non-excludable and rivalrous, leading to potential overuse; private or club goods are excludable, with varying degrees of rivalry. Among the options, the one that most clearly embodies a non-excludable yet rivalrous resource due to crowding and shared use is the congested public park.

Which of the following would be considered a common resource good?

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