What is the tragedy of the commons? Give two examples, including one from your state
What will be an ideal response?
The tragedy of the commons is the absence of incentives to prevent the overuse and depletion of a commonly owned resource. The private market place will not produce the efficient quantity of a common resource. Some examples include the congestion of traffic during rush hour, the congestion near a college football stadium whenever a major game is played, or the free Internet access computer at the local library.
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Excessive regulation may lead to
a. corruption b. attempts to evade regulations c. high costs of complying with regulation d. lobbying to remove regulation e. all of the above
The $840 billion package of both spending increases and tax cuts passed in 2009 was known as ______.
a. the Affordable Care Act b. the American Recovery and Reinvestment Act c. the Kennedy Tax Cuts d. the Reagan Growth Initiative