The tragedy of the commons refers to

The tragedy of the commons is an economic theory that refers to a scenario in which individuals, acting independently and rationally according to each one’s self-interest, ultimately destroy a shared resource even when it is clear that it is not in anyone’s long-term interest for this to happen. For example, if a lake is shared by a village of people, and each individual and their livestock is allowed to draw freely from the lake, it is likely that the lake will eventually become polluted, nutrient-depleted, and unusable for everyone in the village – even though each individual may have been attempting to maximize their own personal benefit from the lake. The tragedy of the commons serves as a cautionary tale about the limits of rational self-interest and the dangers of allowing individuals to exploit shared resources without any limits or regulation.