Question

why monopoly is ideal for the tragedies of the common?

Answer 1

Answer: The tragedy of commons is the problem which happens because of overconsumption, under investment and thus finally result into exaustion of the common pool reources. For the condition of tragedy of commons to occur the resources are suppose to be limited, non excludable and rivalrous. The good is rivalrous when if someone consumes the particular unit of good them it becomes no longer availabe to anyone.

On the other hand monopoly is in the market there is only market player to providing goods and services of the particular product and there is no competition for it from any other player.

Thus if there is monopoly in the market, and the situation of tragedy of commons occur then due to non excludable nature nature of tragedy of commons no one will be able to exclude monopoly from utilizing that good and as in case of monopoly there is no competition in the market, this situation becomes ideal for monopoly to exploit the entire market,