Why does common usage lead to exploitation




















Everyone else wanted to just take a couple but I wanted to see if I could get away with taking more and I did. Society got upset with me though. In the first scenario, I was just fishing as much as I thought I could get away with, when they were not looking I took 4 extra fish in the second drawing and no one noticed until I told them.

Yes, because everyone was acting more sustainable by fishing from their common ponds too. In part 2 I wanted to make up for what I did in the first part so I took more from my private pond. This happens because no one feels responsible for it and they think they can get away with more. Think of the strategies you used. Each person taking a set low amount from the common pond so it stays at a reasonable level of fish.

What are they? How would you propose managing them for long-term exploitation and survival? Water is a resource that gets taken for granted in this country as everyone just expects to get clean water everyday, but just look at what happened in Flint when the water quality was not sustained. Gas is a resource that also gets taken for granted in this country, as people just expect to get as much as they need, but this gets abused in the winter when people just warm their houses too much and consume a lot of the gas resource.

Wind is a resource that is infinitely renewable and impossible to abuse so in this country it helps us be more sustainable and replace some of our other fuel usage. Costanza, R. Social traps and environmental policy. BioScience Hardin, G. The tragedy of the commons. Science Home Welcome. Procedure: Part 1: Divide into groups of 6 students. Show Comments 0 and Tags. In order to comment on this portfolio you must be logged in to the school or organization it is associated with.

Cooperation results in a more sustainable pond. Management of the common pond requires cooperation between fisherman while management of the private ponds is up to each individual. One fisherman might take too much, and not leave enough for the other fisherman.

Ration out fish and communicate with other fisherman to keep the pond sustainable. We always took the maximum possible fish without depleting the pond, so either two or three fish each.

With four fisherman two can take three fish and the other two can take two fish for a total of ten fish taken each round. Conclusion :. We managed the pond very well. It shows how easy it is to deplete resources without the proper management.

This can also apply to cases of game hunting and clean water distribution. Regulation of both of these resources will help to keep them sustainable. Tragedy of the Commons :. The Tragedy of the Commons is an idea that was published in Science in that was written by Garrett Hardin. Regulation usually does not work because it is expensive and tedious to determine the sustainable yield of many resources and difficult to enforce use if a yield is established.

Privatizing is not a great option because it cannot apply to resources such as wildlife, the ocean and the atmosphere. The best way to prevent the Tragedy of the Commons is to communicate within the community or group of people using the resource to keep track of the amount used.

Though the Tragedy of the Commons could potentially cause much turmoil, it is in general easy to avoid through communication and understanding of the resource at hand. Tip: To turn text into a link, highlight the text, then click on a page or file from the list above. Biodiversity Reports. Links to Science Sites. Understanding Key Concepts. Suggested Reading. Student Resources. Legislation Review Assignment. AP Environmental Science at Westlake log in help. Get a free wiki Try our free business product.

To edit this page, request access to the workspace. The Tragedy of the Commons by Adrie Roth Page history last edited by adrienner 13 years, 1 month ago. Part II: This part is exactly like the first, except that in this simulation, everyone has a private pond in addition to the common pond. RESULTS Part I: Commons pond Round Initial of fish taken by fisher 1 taken by fisher 2 taken by fisher 3 taken by fisher 4 Total left at the end of the round 1 20 3 3 2 2 10 2 20 2 3 2 4 9 3 18 3 2 2 2 9 4 18 2 3 2 2 9 Part II: Commons pond Round Initial of fish taken by fisher 1 taken by fisher 2 taken by fisher 3 taken by fisher 4 Total left at the end of the round 1 20 2 2 2 4 10 2 20 3 2 2 3 10 3 20 2 3 2 2 10 4 20 4 4 4 2 6 Part II: Private pond Round Initial of fish of fish taken this round Total left at the end of the round 1 3 0 3 2 3 1 2 3 3 1 2 4 3 1 2 Results : Total Number of Fish Fisherman 1 2 3 4 Part 1 10 11 8 11 Part 2 11 11 10 11 40 total fish were caught with 10 being caught each round.

We managed the pond very well because we communicated with each other about the number of fish we took. Furthermore, we prove a theorem implying that postponing or slowing the transition to sustainable harvesting cannot prevent the ultimate declines in the cumulative discount. Accordingly, we develop a discount formula that incorporates the changes in the harvest methods, which, in turn, dictates significantly higher net costs due to long-lasting environmental damages.

We consider a social welfare function, U T , that depends on the provision of some natural resource at the global scale, f t , and on the consumption of the other goods, including manufactured goods, c t Methods, Eq. To define the social rate of discount hereafter, the discount rate , we adopt a well-established framework 12 , 14 , 16 , 32 , 36 , 37 and we assume that it is given by the rate of decline in the marginal contribution of consumption to social welfare consumption rate of discount.

Accordingly, the discount factor at time t is given by the number of dollars needed at present to compensate for a lack of one dollar at time t. A10 Methods and Supplementary Note 1. Specifically, the discount rate and the prices depend on the substitutability of the natural resource and the other goods, which is incorporated in the social welfare function.

In Supplementary Note 2, we derive specific expressions for the discount rate and for the prices in two cases, one in which the natural resource and the other goods are non-substitutable Eqs.

B5 , B9 , and one in which they are partially substitutable Eqs. B12 , B15 , B In turn, the novel part of this study comes from endogenizing the dynamics of c t and f t by modeling how they depend on the harvest methods used globally see Methods.

This allows us to examine how the discount factor and the prices depend on changes in harvest methods. We assume that, if the harvest methods do not change, then c t and f t increase exponentially at fixed rates, g c and g f , respectively, due to exogenous factors such as technological developments and exogenous environmental changes; however, changes in the patterns of harvest may affect c t and f t , thereby affecting the discount rate over time see Methods.

This approach builds on and generalizes previous studies that considered f t and c t that grows exponentially irrespective of the harvest 32 , Specifically, note that c t and f t characterize the total provision of the goods at the global scale, and accordingly, we consider a large ecosystem that comprises a large number of distinct regions Fig. We are interested in the long-lasting effects of harvesting on the provision of the natural resource, and therefore, we focus on irreversible degradations of the ecosystem, rather than on temporary fluctuations of the resource stock.

These degradations may occur, for example, if some ecosystem services are permanently lost 5 or if the ecosystem that provides the renewable resource collapses or undergoes an irreversible regime shift in some of its regions, such as occurs in eutrophication and deforestation 3 , 4 , We assume that higher rates of non-sustainable harvest higher H n result in a greater provision of the natural resource at the time of harvest but also result in a higher degradation of the ecosystem Eq.

Specifically, we assume that a given portion of the global ecosystem, H t , is being harvested in year t , while some portion of the ecosystem, H n t , becomes degraded during that year due to non-sustainable harvest, and cannot be used for harvest thereafter Fig. For example, H n t may characterize the portion of the global fish or timber stock that is lost due to the collapse of fisheries or the irreversible degradation of forests worldwide in year t For another example, H n t may characterize the persistent reduction in the yield of crop caused by the degradation of vital ecosystem services and the increase in the persistence of pests 33 , In turn, H t and H n t are determined by the various harvest methods used in the system see Methods.

Schematic illustration of the model. Demonstrated is the state of the system at the global scale e. The dark-gray area characterizes the part of the system that is degraded due to former non-sustainable harvesting. The light gray area with the arrows characterizes the part of the system that is being harvested non-sustainably and will be degraded starting next year total dark-gray area is given by H n.

The green area with the fishing vessels characterizes the part of the system that is being harvested sustainably and will remain non-degraded next year total green area is given by H s. The blue area characterizes the part of the system that is not degraded but is still not being harvested. We assume that the spatial scale of the system is very large, and therefore, the recovery of the degraded areas due to migrating biota from other regions is negligible and the total degraded area increases over time.

Each year, H n and H s are determined by the aggregate management by all the managers. We assume that managers may be subject to different externalities in distinct regions, e.

The variables x 1 and x 2 Eqs. To examine the effect of over-harvesting on the natural resource and on the discount rate, we compare scenarios in which over-harvesting occurs to scenarios in which it does not.

We consider two approaches. First, we consider a competitive market approach in which we compare the optimal solution that maximizes social welfare with the solution that emerges in a model of a perfectly competitive market with externalities Figs.

Specifically, the competitive market includes managed regions that have a single manager e. Second, we consider a more general approach in which we compare the dynamics that emerge when the harvest is entirely sustainable with the dynamics that emerge following various ad hoc choices of non-sustainable harvest functions Theorem and Fig. Over-harvesting extends the period during which the discount rate is high, but it is followed by sharp declines in the discount rate and the cumulative discount.

B2 or partially substitutable b , Eq. In the early stages, harvesting activity increases exponentially and the discount rate is high. Next, panels c and d demonstrate harvesting in a competitive market in which some of the regions are shared. The parameters and utility functions used in panels c and d are identical to those used in panels a and b , respectively. However, this period is followed by a rebound in which harvesting declines and the discount rate and the cumulative discount drop.

Note that, in accordance with the theorem, the cumulative discount approaches lower values if the harvest is determined by the market. The parameter values used are within their realistic ranges Methods. Parameter values and Source data are provided as a Source Data file. Social welfare and the cumulative discount are ultimately lower if the transition to sustainable harvest is more gradual.

The gradual transition postpones the decline in the cumulative discount, but ultimately, it declines to an even lower value than its value in system 1. Moreover, the cumulative welfare, U t , in system 1 is initially smaller, but it ultimately becomes greater compared to system 2 gray. The parameters are the same as in Fig. The decline in the cumulative discount is unavoidable demonstration of the theorem.

This is also demonstrated for three scenarios in panel a : In scenario 1, the non-sustainable harvest stops today, while in scenarios 2 and 3, the non-sustainable harvest continues for a few decades and then declines gradually. We assume that u c , f is given by Eq. B5 non-substitutable goods in panels a and c , and by Eq.

B12 partially substitutable goods in panels b and d. In turn, the scenarios are calculated for three different choices of H n t , where the dynamics follow Eqs. Following the optimal solution in which the harvest functions maximize social welfare, two phases emerge along the time axis Fig.

Over time, as c t increases, the direct cost plays a less significant role, and the harvest rates increase. Therefore, the society cannot increase f via harvesting without increasing the non-sustainable harvest i. B6 , B13 , Supplementary Note 2. In turn, in the competitive market solution see Methods , the rate of non-sustainable harvest is higher than the socially optimal rate, namely, the solution exhibits over-harvesting Fig.

Specifically, the harvest is still primarily sustainable in the managed regions but is non-sustainable in the shared regions. The total area under non-sustainable harvest in the shared regions increases over time, and consequently, f t continues to increase over an extended period of time, which postpones the decline in the discount rate. A11 , and the price of manufactured goods Eq. In particular, the theorem shows that the result is robust and does not depend on specific assumptions and parameters.

It applies not only in the competitive market model but also in the more general case in which non-sustainable harvest is used instead of more sustainable harvest. Assume that the social welfare, U T , is given by Eq. Also, assume that u c,f is monotonically increasing and twice differentiable with respect to both of c and f, and all of its second partial derivatives are non-positive namely, an increase in c or f does not cause another increase to be more beneficial.

All these assumptions are satisfied if u is given by Eqs. Namely, the non-negative harvest functions maximize social welfare max U T subject to Eqs. Next, we calculate the correction to the value of future natural goods as dictated from Eq. For example, if the natural resource is non-substitutable Eq. Expressions that result from other utility functions are given in Supplementary Note 2 and in the literature 32 , Endogenizing changes in harvest patterns implies a larger discount factor and higher values for future environmental goods.

This factor may impose significantly higher values on future goods, e. However, if the long-term provision of the natural resource continues to increase at the same rate as the other goods, i. The other parameter values are the same as in Fig.

After over-harvesting for decades, many societies around the world are beginning to transition to sustainable environmental management practices and sustainable harvest methods Our study shows that the transition to sustainable harvest methods after a period of over-harvesting is expected to result in a decline in social welfare, economic growth, and the discount rate.

In particular, we show that the discount rate, or the social rate of discount, does not decline gradually to its sustainable asymptotic rate; rather, the transition to sustainable harvest may include a period during which the discount rate is far below its asymptotic level Figs. Note that several studies suggested that policymakers need to consider discount rates that decline gradually over time due to various mechanisms, including uncertainty in technological growth 16 , 20 , 21 , 22 , 23 , slowdown in technological development due to environmental degradation 27 , 28 , and declining production due to decline in the exploitation of natural resources In contrast, we showed here that the transition to sustainable harvest imposes a sharper, non-gradual decline in the cumulative discount Figs.

The mechanism underlying this sharper decline is that the rate of increase in the provision of natural resources not only slows down, but must at some point become lower than it would be if over-harvesting had never occurred.

In turn, social welfare depends on the provision of natural resources, and therefore, a decline in their provision implies a lower discount rate. Our results also suggest that the calculations of the discount factor in the long run should not rely on simple extrapolations of the discount rates in the short run.

Specifically, over-harvesting might continue for a couple of decades, which may keep the provision of natural resources high in the short run, but will ultimately result in an even lower provision of these resources.

Therefore, continued over-harvesting may justify considering higher discount rates in the short run, but it also necessitates discounting the long run less Fig. Ignoring the harvest-induced decline in the discount rate not only falsifies cost-benefit analyses, it also creates a bias: Over-harvesting increases the discount rate in the short run, which might unjustifiably bias the expectations of policymakers to anticipate higher future discount rates, which, in turn, is used to justify further exploitation.

This may also explain why policymakers should consider lower discount rates in the long run although there is no clear evidence that the rate of return on capital will decline during the next 30—40 years To correct for this bias and account for the future decline in the cumulative discount, we developed a new discount formula Eqs. Therefore, the expected decline in the cumulative discount must be at least as large as its former increase due to over-harvesting Eq.

In turn, this former increase is given by Eq. The correction to discounting suggested by our formula is significant Fig. Note that the effect of harvest on discounting should be considered in addition to not instead of changes dictated by various other mechanisms and considerations.

Specifically, their future values do not depend on whether they are accounted for as market or as non-market goods. Therefore, focusing on the inevitable increase in the price of natural resources following their over-harvesting would result in the same conclusions and present an alternative approach to the one presented here. The significant effect that the global transition to sustainable harvest has on the future value of natural resources suggests that climate policies should be determined jointly with other environmental policies.

We begin with describing a well-established framework 32 , 36 , 37 that specifies how social welfare and the discount rate depend on the provision of the natural resource over time, f t , and on the consumption of other goods over time, c t.

Next, we specify how harvest at the global scale affects the dynamics of f t and c t which would grow exponentially if the harvest functions are fixed. We complete the model by describing how the harvest strategies are determined by the various managers in a competitive market. We consider a social welfare function that is given by the widely-used form 12 , 32 , 36 , The distinction between the provision or consumption of the natural resource, f t , and that of the other goods, c t is necessary here because, if the natural resource and the other goods are not entirely substitutable and the ratio between them varies over time, then social welfare depends on the ratio between c and f over time and cannot be written as a function of a single variable In turn, the substitutability is determined by the form of u 12 , 29 , For example, the goods may be non-substitutable, characterized by separable utility functions Supplementary Note 2, Eq.

B2 , if one good cannot compensate for the lack of the other good e. Alternatively, the goods may be partially substitutable Eq. B10 if a sufficient amount of one good may compensate for the lack of the other good e. In turn, note that there are several candidates for quantifying the social rate of discount 15 , including the consumption rate of discount and the social and private rates of return to investment. These three quantities are closely-related, and, in a perfectly competitive market, they become equal and reflect the marginal productivity of capital.

In this study, as in numerous related studies 12 , 14 , 16 , 32 , 36 , 37 , the focus is on the consumption rate of discount, which is the rate of decline in the marginal contribution of consumption to social welfare. In other words, the corresponding discount factor specifies how many units of consumption added at present would have the same effect on social welfare as a single unit added at time t. In turn when the welfare depends on multiple goods, the discount may depend on the particular good that the policymaker considers 31 , 36 , This simply reflects the relative price changes of the goods.

Therefore, to define discount in our system, we consider a small, marginal perturbation to both c and f. Accordingly, we define the discount factor at time t as the number of dollars needed at present to compensate for a lack of one dollar at time t.

The right side of Eq.



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