Ireland and England Both Fish in the Irish Sea

Multiple Choice

Ireland and England both fish in the Irish Sea. If this sea is over-fished, the fish stocks will fall and fish will eventually become extinct. Both countries have to decide whether to fish a lot or a little. The payoffs are given in the table below.

The outcome of this game is _______, which illustrates the _______.

A) both countries choosing to fish a little, prisoners dilemma
B) both countries choosing to fish a lot, externalities
C) both countries choosing to fish a lot, prisoner's dilemma
D) both countries choosing to fish a little, externalities