Question

18. Fishermen in Oceania report dwindling supplies of their favorite fish. These fishermen fish in open water with no limits placed on who can fish in the water and how many fish can be taken from the sea. This is an example of a(n) A. artificially scarce good because good fisheries management could eliminate the fish scarcity. B. public good because no one is paying to fish in the water and no one can be excluded C. common resource because the fishing grounds are nonexcludable but rival in D. private good because each fisherman catches his own fish and then markets them at the from fishing in the water consumption. local fish market.

Answer 1

The correct answer is C.

Explanation :- A common resource are non excludable and rival good. Fishing grounds are examples of common resource as no one owns these areas of the ocean and no single government can tell people not to fish in them. They are rival in consumption because their consumption lessens the benefits available for others.