The Tragedy of the Commons Is the Absence of Incentives

question 28

Multiple Choice

The tragedy of the commons is the absence of incentives to

• A)reduce marginal cost of common resources.
• B)prevent underuse of common resources.
• C)prevent overuse of common resources.
• D)discover new common resources.
• E)export wool in sixteenth-century England.

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Definitions:

Jim Crow

Refers to the laws and customs enforced in the southern United States post-Reconstruction until the 1960s, aimed at segregating and discriminating against African Americans.

George C. Marshall

A key U.S. military leader during World War II who served as Army Chief of Staff and later as Secretary of State, developing the Marshall Plan to rebuild Europe's economy.

European Recovery Plan

The European Recovery Plan, also known as the Marshall Plan, was an American initiative after World War II to aid Western Europe, in which the U.S. provided substantial financial assistance to rebuild European economies and prevent the spread of Soviet communism.

Potsdam

A city in Germany known for hosting the Potsdam Conference in 1945 where Allied leaders discussed post-World War II order.