Open Fishing a recap

Fishers had two opportunities to fish in order to gain income. The first round was supposed to last 30 seconds. All fish are eligible for harvesting. Fishers earn $0.25 for each fish harvested. The second round was supposed to last 30 seconds. Any fish remaining from round #1 were open for harvesting. The incentive was $1 per fish.

The Fishing Demonstration the real situation:

Why do commercial fishers over-harvest their fishing areas?

Stupidity Greed Ignorance

Cod Fishing in the Atlantic Ocean. Caviar harvesting in the Caspian Sea. Shrimp fishing in the Gulf Coast. Salmon on the West Coast.

Outcomes
Open fishing resulted in destruction of the fish stockStupidity, greed, ignorance? Fish farming resulted in fish stock preservation and careful harvesting.

Economic Mysteries

Why are there so many chickens but so few whales? Why are public restrooms disgusting? (however, you would
never treat your own that way)

Why will people litter in a park but not in their own backyard?

The Tragedy of the Commons Simulation

The Importance of

Private Ownership

Tragedy of the Commons Defined

When a resource is held in common it tends to be overused (or misused) because each person who uses it gains the full benefit of use but the costs are shared by other individuals. No one has a strong incentive to conserve the resource because someone else will use it if it is left idle.

PRIVATE PROPERTY

Its simple to understand, really, when you own something you have more of a vested interest in its outcome (what happens to that item) Land, homes, buildings, furniture, vehicles, copyrights, etcetceven pets!

Conclusions

Common ownership of a resource makes

that resource very vulnerable to overuse and abuse.

Private

ownership rights can contribute

to better supervising and managing resources.