Tragedy of The Commons

Download as pdf or txt
Download as pdf or txt
You are on page 1of 4

PrintableFormatforhttp://www.econlib.org/library/Enc/TragedyoftheCommons.

html
FAQ:PrintHints

TragedyoftheCommons
byGarrettHardin
AbouttheAuthor

n1974thegeneralpublicgotagraphicillustrationofthetragedy
ofthecommonsinsatellitephotosoftheearth.Picturesof
northernAfricashowedanirregulardarkpatch390squaremilesin
area.Groundlevelinvestigationrevealedafencedareainsideof
whichtherewasplentyofgrass.Outside,thegroundcoverhadbeen
devastated.

RelatedCEEArticles:
AustrianSchoolof
Economics
Bankruptcy
Demand
Efficiency
EthicsandEconomics

Theexplanationwassimple.Thefencedareawasprivateproperty,
subdividedintofiveportions.Eachyeartheownersmovedtheiranimalstoa
newsection.Fallowperiodsoffouryearsgavethepasturestimetorecover
fromthegrazing.Theownersdidthisbecausetheyhadanincentivetotake
careoftheirland.Butnooneownedthelandoutsidetheranch.Itwasopen
tonomadsandtheirherds.ThoughknowingnothingofKARLMARX,the
herdsmenfollowedhisfamousadviceof1875:Toeachaccordingtohis
needs.Theirneedswereuncontrolledandgrewwiththeincreaseinthe
numberofanimals.But SUPPLYwasgovernedbynatureanddecreased
drasticallyduringthedroughtoftheearly1970s.Theherdsexceededthe
naturalcarryingcapacityoftheirenvironment,soilwascompactedand
eroded,andweedyplants,unfitforcattleconsumption,replacedgood
plants.Manycattledied,andsodidhumans.
Therationalexplanationforsuchruinwasgivenmorethan170yearsago.In
1832WilliamForsterLloyd,apoliticaleconomistatOxfordUniversity,looking
attherecurringdevastationofcommon(i.e.,notprivatelyowned)pasturesin
England,asked:Whyarethecattleonacommonsopunyandstunted?Why
isthecommonitselfsobareworn,andcroppedsodifferentlyfromthe
adjoininginclosures?

LawandEconomics
Population
PropertyRights
SavingsandLoanCrisis
Socialism
Supply
RelatedCEE
Biographies:
KarlMarx
RelatedEconlib
Resources:
BruceYandleonthe
TragedyoftheCommons
andtheImplicationsfor
Environmental
Regulation.EconTalk
podcast.Oct.2007.
Tragedyofthe
Commons,byEric
Crampton.EconLog,July
19,2006.Originofthe
term.

Lloydsanswerassumedthateachhumanexploiterofthecommonwasguided
Goto1stEdition
byselfinterest.Atthepointwhenthecarryingcapacityofthecommonswas
fullyreached,aherdsmanmightaskhimself,ShouldIaddanotheranimalto
myherd?Becausetheherdsmanownedhisanimals,thegainofsodoingwouldcomesolelyto
him.Butthelossincurredbyoverloadingthepasturewouldbecommonizedamongallthe
herdsmen.Becausetheprivatizedgainwouldexceedhisshareofthecommonizedloss,aself
seekingherdsmanwouldaddanotheranimaltohisherd.Andanother.Andreasoninginthesame
way,sowouldalltheotherherdsmen.Ultimately,thecommonpropertywouldberuined.
Evenwhenherdsmenunderstandthelongrunconsequencesoftheiractions,theygenerallyare
powerlesstopreventsuchdamagewithoutsomecoercivemeansofcontrollingtheactionsofeach

individual.Idealistsmayappealtoindividualscaughtinsuchasystem,askingthemtoletthe
longtermeffectsgoverntheiractions.Buteachindividualmustfirstsurviveintheshortrun.Ifall
decisionmakerswereunselfishandidealisticcalculators,adistributiongovernedbytheruleto
eachaccordingtohisneedsmightwork.Butsuchisnotourworld.AsJamesMadisonsaidin
1788,Ifmenwereangels,noGovernmentwouldbenecessary(Federalist,no.51).Thatis,ifall
menwereangels.Butinaworldinwhichallresourcesarelimited,asinglenonangelinthe
commonsspoilstheenvironmentforall.
Thespoilageprocesscomesintwostages.First,thenonangelgainsfromhiscompetitive
advantage(pursuinghisowninterestattheexpenseofothers)overtheangels.Then,asthe
oncenobleangelsrealizethattheyarelosingout,someofthemrenouncetheirangelicbehavior.
Theytrytogettheirshareoutofthecommonsbeforecompetitorsdo.Inotherwords,every
workabledistributionsystemmustmeetthechallengeofhumanselfinterest.Anunmanaged
commonsinaworldoflimitedmaterialwealthandunlimiteddesiresinevitablyendsinruin.
Inevitabilityjustifiestheepithettragedy,whichIintroducedin1968.
Wheneveradistributionsystemmalfunctions,weshouldbeonthelookoutforsomesortof
commons.Fishpopulationsintheoceanshavebeendecimatedbecausepeoplehaveinterpreted
thefreedomoftheseastoincludeanunlimitedrighttofishthem.Thefishwere,ineffect,a
commons.Inthe1970s,nationsbegantoasserttheirsolerighttofishouttotwohundredmiles
fromshore(insteadofthetraditionalthreemiles).Buttheseexclusiverightsdidnoteliminatethe
problemofthecommons.Theymerelyrestrictedthecommonstoindividualnations.Eachnation
stillhastheproblemofallocatingfishingrightsamongitsownpeopleonanoncommonizedbasis.
Ifeachgovernmentallowedownershipoffishwithinagivenarea,sothatanownercouldsue
thosewhoencroachonhisfish,ownerswouldhaveanincentivetorefrainfromoverfishing.But
governmentsdonotdothat.Instead,theyoftenestimatethemaximumsustainableyieldandthen
restrictfishingeithertoafixednumberofdaysortoafixedaggregatecatch.Bothsystemsresult
inavastoverinvestmentinfishingboatsandequipmentasindividualfishermencompetetocatch
fishquickly.
SomeofthecommonpasturesofoldEnglandwereprotectedfromruinbythetraditionofstinting
limitingeachherdsmantoafixednumberofanimals(notnecessarilythesameforall).Such
casesarespokenofasmanagedcommons,whichisthelogicalequivalentof SOCIALISM .Viewed
thisway,socialismmaybegoodorbad,dependingonthequalityofthemanagement.Aswithall
thingshuman,thereisnoguaranteeofpermanentexcellence.TheoldRomanwarningmustbe
keptconstantlyinmind:Quiscustodietipsoscustodes?(Whoshallwatchthewatchers
themselves?)
Underspecialcircumstancesevenanunmanagedcommonsmayworkwell.Theprincipal
requirementisthattherebenoscarcityofgoods.EarlyfrontiersmenintheAmericancolonies
killedasmuchgameastheywantedwithoutendangeringthesupply,themultiplicationofwhich
keptpacewiththeirneeds.Butasthehuman POPULATIONgrewlarger,huntingandtrappinghadto
bemanaged.Thus,theratioofsupplyto DEMANDiscritical.
Thescaleofthecommons(thenumberofpeopleusingit)alsoisimportant,asanexaminationof
Hutteritecommunitiesreveals.ThesedevoutlyreligiouspeopleinthenorthwesternUnitedStates
livebyMarxsformula:Fromeachaccordingtohisability,toeachaccordingtohisneeds.(They
givenocredittoMarx,howeversimilarlanguagecanbefoundseveralplacesintheBible.)At

firstglanceHutteritecoloniesappeartobetrulyunmanagedcommons.Butappearancesare
deceiving.Thenumberofpeopleincludedinthedecisionunitiscrucial.Asthesizeofacolony
approaches150,individualHutteritesbegintoundercontributefromtheirabilitiesandoverdemand
fortheirneeds.TheexperienceofHutteritecommunitiesindicatesthatbelow150people,the
distributionsystemcanbemanagedbyshameabovethatapproximatenumber,shamelosesits
effectiveness.
Ifanygroupcouldmakeacommonisticsystemwork,anearnestreligiouscommunitylikethe
Hutteritesshouldbeableto.Butnumbersarethenemesis.InMadisonsterms,nonangelic
membersthencorrupttheangelic.Wheneversizealtersthepropertiesofasystem,engineers
speakofascaleeffect.Ascaleeffect,basedonhumanpsychology,limitstheworkabilityof
commonisticsystems.
Evenwhentheshortcomingsofthecommonsareunderstood,areasremaininwhichreformis
difficult.NooneownstheEarthsatmosphere.Therefore,itistreatedasacommondumpinto
whicheveryonemaydischargewastes.Amongtheunwantedconsequencesofthisbehaviorare
acidrain,thegreenhouseeffect,andtheerosionoftheEarthsprotectiveozonelayer.Industries
andevennationsareapttoregardthecleansingofindustrialdischargesasprohibitively
expensive.Theoceansarealsotreatedasacommondump.Yetcontinuingtodefendthefreedom
topollutewillultimatelyleadtoruinforall.Nationsarejustbeginningtoevolvecontrolstolimit
thisdamage.
Thetragedyofthecommonsalsoaroseinthesavingsandloan(S&L)crisis.Thefederal
governmentcreatedthistragedybyformingtheFederalSavingsandLoanInsuranceCorporation
(FSLIC).TheFSLICrelievedS&Ldepositorsofworryabouttheirmoneybyguaranteeingthatit
wouldusetaxpayersmoneytorepaythemifanS&Lwentbroke.Ineffect,thegovernmentmade
thetaxpayersmoneyintoacommonsthatS&Lsandtheirdepositorscouldexploit.S&Lshadthe
incentivetomakeoverlyriskyinvestments,anddepositorsdidnothavetocarebecausetheydid
notbearthecost.This,combinedwithfalteringfederalsurveillanceoftheS&Ls,ledtowidespread
failures.Thelosseswerecommonizedamongthenationstaxpayers,withseriousconsequences
tothefederalbudget(see SAVINGSANDLOANCRISIS).
Congestiononpublicroadsthatdonotchargetollsisanotherexampleofagovernmentcreated
tragedyofthecommons.Ifroadswereprivatelyowned,ownerswouldchargetollsandpeople
wouldtakethetollintoaccountindecidingwhethertousethem.Ownersofprivateroadswould
probablyalsoengageinwhatiscalledpeakloadpricing,charginghigherpricesduringtimesof
peakdemandandlowerpricesatothertimes.Butbecausegovernmentsownroadsthatthey
financewithtaxdollars,theynormallydonotchargetolls.Thegovernmentmakesroadsintoa
commons.Theresultiscongestion.

AbouttheAuthor

ThelateGarrettHardinwasprofessoremeritusofhumanecologyattheUniversityofCaliforniaatSantaBarbara.
Hediedin2003.

FurtherReading

Berkes,Fikret.CommonPropertyResources.London:BelhavenPress,1989.
Hardin,Garrett.FiltersAgainstFolly.NewYork:VikingPenguin,1985.

Hardin,Garrett.LivingonaLifeboat.BioScience24(1974):561568.
Hardin,Garrett.TheTragedyoftheCommons.Science162(1968):12431248.
Hardin,Garrett,andJohnBaden,eds.ManagingtheCommons.SanFrancisco:W.H.Freeman,1977.
Hiatt,HowardH.AmericasHealthintheBalance.NewYork:HarperandRow,1987.
McCay,BonnieJ.,andJamesM.Acheson,eds.TheQuestionoftheCommons.Tucson:UniversityofArizona
Press,1987.
McGoodwin,JamesR.CrisisintheWorldsFisheries.Stanford:StanfordUniversityPress,1990.
Ostrom,Elinor.GoverningtheCommons.NewYork:CambridgeUniversityPress,1990.
Returntotop

Copyright2008
LibertyFund,Inc.
AllRightsReserved

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy