Several fishing companies share access to the same sea. Each company increases its catch to maximise its own profits, and within a few years fish stocks collapse, harming all of them. Which concept does this illustrate?

Correct answer: C) The tragedy of the commons

Explanation

The tragedy of the commons arises when individuals acting in their own short-term interest overuse a shared resource, depleting it to everyone's detriment. It shows how inaction or uncoordinated action damages environmental sustainability and, in turn, economic sustainability. The other concepts do not describe the over-exploitation of a shared resource.