5 The problem of overuse Aa Aa Alex Manuel and Steve are fis

5. The problem of overuse Aa Aa Alex, Manuel, and Steve are fishermen who live next to a lake that is open to fishing; in other words, anyone is free to use the lake for fishing. Assume that these men are the only three fishermen who fish in this lake and that the lake is large enough for all three fishermen to fish intensively at the same time. Each year, the fishermen choose independently how many fish to catch; specifically, they choose whether to fish intensively (that is, to place several fishing lines in the water for long periods of time, which hurts the sustainability of the lake if enough people do it) or to fish nonintensively (which does not hurt the sustainability of the lake). None of them has the ability to control how much the others fish, and each fisherman only cares about his own profitability and not the long-termsustainability of the lake Assume that as long as no more than one fisherman fishes intensively, there are enough fish to restock the lake. However, if two or more fish intensively, the lake will become useless. Of course, fishing intensively earns a fisherman more money because he can sell more fish. The lake is an example of because it is and an artificially scarce good a common resource a private good a public good y or intensively. Fill in Alex\'s most rational Suppose Manuel and Stev response in the following ntensivel ternc yTY TTTTTTGETTTO ???? action

Solution

Lack is a classic example of Public good becuase it is nonexcludable and nonrival

Above answers depict the proerpty of Public good