Friday Cameron Raber and I
had the opportunity to discuss the optimal commons. This is not to be confused
with the tragedy of the commons, which is another economic theory that is
closely related. The article defines the optimal commons theory as land when it
is being used in the optimal way. Land used in common is when all people own
the land together and can be used by the public without anyone being excluded
from using it. An example of land used in common today is the airport lounging
area that is provided at the gates. The utilization of space in an optimal way
is a key factor to the optimal commons in this sense.
In airports, the public space
available for seating could be used for vendors instead, which could be more
profitable for the company/companies in charge of running the airport. From
this scenario, it is up to the airport to decide what balance of available
seating to vendors is optimal. If all the space were used for seating, there
would be no vendors or food available to the travelers, so the hungry travelers
would speak out and complain. Also, the space wouldn’t be leased to retailers,
so there would likely be far less profit for the airport’s operator. On the
other hand, if all of the space were used for vendors, there would be no place
for the travelers to rest comfortably, and passengers would wait or queue up in
ways that might interfere with the vendors.
Economists have to take many
factors into account. If the entirety of the airport space were all seating,
the airport is then all commons. When the airport contains all vendors, it then
contains no commons. So then, where is the optimal commons? The optimal commons
will be calculated by considering the population of the surrounding area and
number of flights that will be coming in. This will help to give an idea to how
much area should be put into the commons, and how much should be factored in
for the vendors. If the population grows, it is then possible to solve that
problem with expanding the commons.
Free riding is a final concept that still has be taken into account because there is no free riding on the side of the airport past security. Free riding is when “people take advantage of being able to use a common resource, or collective good, without paying for it, as is the case when citizens of a country utilize public goods without paying their fair share in taxes.” There is no free riding possible beyond the security checkpoints, because people have already paid their airfare and taxes when they have made it past the security check, where there is plenty of seating available. This system has been put into place to make the whole airport system the most effective and efficient that it can be.
Free riding is a final concept that still has be taken into account because there is no free riding on the side of the airport past security. Free riding is when “people take advantage of being able to use a common resource, or collective good, without paying for it, as is the case when citizens of a country utilize public goods without paying their fair share in taxes.” There is no free riding possible beyond the security checkpoints, because people have already paid their airfare and taxes when they have made it past the security check, where there is plenty of seating available. This system has been put into place to make the whole airport system the most effective and efficient that it can be.
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