Question

Most countries have made it illegal to hunt, kill, and consume whales or use products made from whales, yet whales are still being hunted to extinction.   Chickens on the other hand, are legal to kill and eat. We consume millions of chickens in the U.S. each year, yet they are not threatened by extinction. How can we explain this?

options:

	The fallacy of composition is an issue related to migratory sea creatures.
	There is diminishing marginal benefit when we consume too many whales, but not when we consume chickens.
	Whales impose externalities while chickens do not.
	Private property rights can easily be established for chickens, but it is difficult to establish private property rights for whale ownership.

Answer 1

Private property rights can easily be established for chickens, but it is difficult to establish private property rights for whale ownership.

Since chicken are breed as poultry goods by profit making enterprises hence they are produced in large quantities . Private property rights over production and selling of chicken makes them a private good and hence produced with efficiency . But whales cannot be produced and privatized so easily . Whales cannot be reared for industrial purpose like chicken and property rights cannot be attained so it becomes a common good and hence there is a free rider problem .