Common Resource

What is a common resource?

A common resource is any good or service that is nonexcludable and rival.

To illustrate this concept, we use the example of fishing for tuna in the ocean. No one can be legally excluded from fishing in non-territorial waters, and tuna are also rival -- meaning that for every tuna you catch, there is one fewer tuna for someone else to catch.

Overuse of a common resource often leads to a tragedy of the commons.

What are some other examples of common resources? Watch to find out!

For more, see MRU’s microeconomics course section on public goods and tragedy of the commons.