4 ms·
California needs to raise the price of water. Isn't it ironic that water in Seattle (which has an embarrassment of riches when it comes to fresh water) is more
by nostromo 12y ago
California needs to raise the price of water.
Isn't it ironic that water in Seattle (which has an embarrassment of riches when it comes to fresh water) is more expensive than it is in SF and LA?
http://www.circleofblue.org/waternews/wp-content/uploads/2010/04/allstats590.jpg http://www.circleofblue.org/waternews/wp-content/uploads/201...
If you want people to use less water, simply raise the price.
- pkaye 12y agoThe other way is if other states would grow more agriculture so there is more diversity.
- mikeash 12y agoOther states might grow more if their California competition wasn't subsidized so heavily with water.
- pkaye 12y agoDo you have any evidence of this that they are not growing more because California subsidizes water usage?
- mikeash 12y agoJust basic economics. Subsidies increase supply which reduces prices. Lower prices discourage production. Net result is that production shifts to the place with the subsidies.
- deleted 12y ago[deleted]
- pkaye 12y agoSo your suggestion is to get rid of the subsidies?
- mikeash 12y agoMy suggestion is that we'd be better off if they weren't there. That doesn't necessarily suggest a plan of action, though, since just dropping long-existing subsidies can cause a lot of problems. I don't know what the solution is, but I think the goal should be to charge farmers something like the fair value of the water they consume.
- jseliger 12y agoCalifornia needs to raise the price of water. [. . .] If you want people to use less water, simply raise the price. This is absolutely correct and Alex Tabarrok just wrote a similar post on Marginal Revolution: http://marginalrevolution.com/marginalrevolution/2015/03/the-california-water-shortage-again.html http://marginalrevolution.com/marginalrevolution/2015/03/the...
- oasisbob 12y agoOr, to flip that around -- if your residents use less water, the price per gallon will increase. Seattle has nearly the lowest per-capita water usage on that list. http://www.circleofblue.org/waternews/2010/world/u-s-urban-residents-cut-water-usage-utilities-are-forced-to-raise-prices/ http://www.circleofblue.org/waternews/2010/world/u-s-urban-r...