Tara-Jane Vanderboom
Mr. Reuter
Economics
21 March 2017
Should We Increase the Price of Water?
There is something that we consumers use in our daily lives that we cannot survive without and that special something is water. The price of water follows the law of supply, as water has such a high demand that suppliers will sell it for an incredibly low price even though it is such a crucial resource. It is interesting to see that we spend so little on water compared to what we spend on other products that aren’t even remotely tied to our survival. It has been debated however, whether or not the price should be increased because of this fact, and also because the low cost is causing series water wastage form most Americans. The opportunity cost of having cheap water is having an increase in the amount of water we waste, as we don’t have to pay significantly for the consequences.
It gets a little overwhelming and surprising when we realize how much water we use in our homes alone. People who live in areas with abundances of water sources don’t usually even think about how much water is being used, but places mostly in the south-west need to be aware when doing the following:
As seen, the amount of water used in homes can vary significantly. If we take a closer look at toilets specifically, it’s a great example of how we add to wasting millions of gallons of water
multiple times a day. “Older toilets can use 3.5, 5, or even up to 7 gallons of water with every flush. Federal plumbing standards now specify that new toilets can only use up to 1.6 gallons per flush (GPF), and there are high efficiency toilets that use up to 1.28 GPF” (“Toilet”).
Certain states that have had serious water scarcity problems have made decisions that didn’t change the price of water for their citizens, but rather made them account for the extra water they use. California for example, made it a crime to waste water doing things like hosing a driveway or a sidewalk due to the severe droughts. “Such efforts may be more effective than simply exhorting people to conserve. In August, for example, cities and towns in California consumed much less water — 27 billion gallons less —than in August last year” (Porter). This tactic can be considered to be an indirect way of paying for extra water usage, and the results actually turn out to be helpful. If this significant of progress could be made in one city, then it can be replicated throughout the country.
Because water is in such high demand, it has an inelastic quality because people need water to survive and for our daily activities. The price of water doesn’t actually follow the normal change once it’s in shortage, as we see in California they don’t pay any more than the rest of the country even in times of serious droughts. Should this be the case? Should citizens who happen to live in these water ridden areas have to pay more or should they at least be held accountable when they use more than they need to? Should water wastage be a nationwide crime to further better our water conservation or keep it at the price it is?
Works Cited
“Toilet.” conserveh20.org, http://www.conserveh2o.org/toilet-water-use.
Porter, Eduardo. “The Risks of Cheap Water.” The New York Times, The New York Times Company, 14 Oct. 2014. https://www.nytimes.com/2014/10/15/business/economy/the- price-of- water-is-too-low.html?_r=1.
“Let’s Start a Big Bowl Movement Together.” Project Drop-A-Brick, Drop-A-Brick, http://www.projectdropabrick.org/the-second-post/.
Lurie, Julia. “Here's How Much Water Golf Courses, Ski Resorts, and Pools Are Using in California.” Mother Jones, Mother Jones and the Foundation for National Progress, 3 Aug. 2015. http://www.motherjones.com/environment/2015/05/golf-pools-water- drought-california.
The market for water can be a challenging one to understand at times. Water is in very high demand especially in certain parts of the world with droughts and yet the prices on water are very low. It is a product that should be sold for more with the scarcity of water out there. With the amount of demand and scarcity in certain areas a person would assume that the prices must go up. I find it surprising that the market does not affect water like it does for everything else.
ReplyDeleteI think as a whole the United States should not raise the price of water, that would only make things more difficult but the people that live in the South West should keep finding ways to conserve their water for the future. California started off the right way by making it a crime to waste water doing things like hosing a driveway or a sidewalk, but I don't think that will be enough to conserve the water for the state. The South West states need to come together and find more ways to save their water before another drought comes into play
ReplyDeleteIn my opinion I think that the price of water should go up for using in the household. Drinking water although could stay at the same price since if there were to be less water to use in a household people would realize that they would have to pay less and use less water due to this. Also places in California and Arizona where they are in a drought most of the year they need to find other ways to get their water.
ReplyDeleteI like your choice in topic. It is a very relevant and important issue that concerns all of humanity. As we know, water is a basic human need so as much as we want to conserve it, the use of it is inevitable. I agree with cutting down on toilet usage and other utilities such as that, but there are also waste treatment facilities that can recycle that water to be used again. I don't think the price of water should rise because of the fact that it is a basic human need, but conservation while using water utilities should be a serious step taken in this process.
ReplyDeleteI feel like instead of raising the price of water, places like the Southwest of our country need to find ways to better conserve the water that they use. The Southwest of our country is always in dangers of a drought, so their state governments need to figure out ways to imply regulations on how much water is used. If regulations were placed, even though there would still be a shortage in water, it would put everyone in a better situation that what could potentially happen. Instead of raising the price of water, put regulations on it to follow.
ReplyDeleteI don't think that water prices should be raised, and that they should stay at the price that it is at. Water is the most important resource that we have, and in some cases it would be easy to get. The average price of water is about $1.50 for 1000 gallons. At that price, a gallon of water is less then a penny. That stat alone illustrates the fact that as a country, we have a lot of water to go around. Raising the price of water wouldn't really be necessary and the demand and supply curve are at an fair equilibrium for all involved.
ReplyDeleteAlthough I did know that states like California were experiencing severe droughts, I did not know that they were being punished for unnecessary uses of water. While some people I'm sure complained about this, I think it's a great way to get people to pay attention to how they are using their water and how to save. While water is a largely abundant resource, it won't always be, so we need to use it wisely. I think other states should implement something similar, maybe not as strict because we don't face as harsh of issues, but we should still be conscientious of our water spending, because it can affect others around us, and eventually us.
ReplyDeleteI think raising the price of water in the US would be quite drastic since everyone has been used to a relatively constant price for water for some time now. The idea of making citizens account for extra water they use instead of charging more is a better idea because it makes people conscious about what they're doing and maybe will reduce demand for water in the long run as people realize that they don't need quite as much.
ReplyDeletePersonally I think raising prices of water would be a bad idea economically. Just think, you go to a restaurant, and want to order a drink, because water would cost more, all other drinks would be more pricy. And because humans need and use water in so many products, it would be more a pain than anything. Yes, wasting water is a problem, though, its not hard to filter it again. We've been reusing water for millions of years so I don't see such a problem. We've known for a long time that we use more than we need, but we do that with like every resource.
ReplyDeleteI think raising the price of water is a good thing because everyone will pay attention to how much water they use so they won't waste it because if they do they are wasting their money so more people will be careful. There are somethings that we do that we cannot stop like doing laundry. to save water doing laundry the only thing that we can do is come out with a new washer and have it produce less water. Same with toilets to save water we need to come up with new ideas for a toilet to use less water.
ReplyDeleteI was surprised to find out how much water even simple things like flushing the toilet is. Not that I think we shouldn't flush the toilet, but I would agree we take water and the price of it all for granted. I think we all have this idea in our minds that there's no limit to the amount of water, especially with it being so cheap. In the condos I live in you only have to pay for hot water, so cold water is all completely free. People could probably just use the tap water from their house for free for drinking water or take cold showers if they really wanted to, but in reality we like nice and pleasing things--hence why we buy bottled water and take hot showers. The price of it in the end is worth it to people because having these things with their water gives them comfort. It's shocking businesses wouldn't really take advantage of that, but I think it's really cause everyone needs water for multiple things so there's really no point in making it expensive.
ReplyDeleteWater usage is a unique problem. Although there is an abundance of the resource across the world, lots of it cannot be used due to the salt that is present within it. Almost all of the world’s water is salt water, as seen in the oceans. This water cannot be used for consumption or any of the many uses people have. Having such a limited amount makes it a tough decision when deciding how to charge people or how to manage the usage. So far the problem does not present a major problem to the world, but with lots of fresh water being used everyday, the day is not too far where it can be considered a scarce source. With that said I feel it is time now to look ahead and at least delay times of scarcity. Higher prices for water will affect consumers views on buying so much but that extra price could help out research to make all of the world’s water potentially consumable. Rules about how much water can be consumed in an amount of time can also help delay the problem. Any way to prevent waste of water will help in the long run and that is what should happen.
ReplyDeleteJaeger H
When you talk about a raise in the cost of water, it not only makes people conscious of their usage, but more stringent on how they use the water they have. So many people use water everyday without a care in the world, thinking that it being for the most part cheap, means they can use however much they desire. On the other hand, raising water prices would most likely keep the same demand, with possibly a slight decrease, but overall, with water being a necessity to life, the demand for it will always be high, but by raising the cost, people may turn to alternative options, or substitutes such as milk, or other beverages in terms of drink supply. For showering and cooking, or doing laundry, it is certain that most people will be more aware of their usage as the price of water is higher. It's unfortunate that people abuse their usage of water because it is so cheap, but this is a smart solution to decreasing water usage.
ReplyDeleteThis topic isn't usually something people think about, so it's interesting that you chose it. Water is a necessity and is plentiful in many places, but scarce in others. The price of water in America remains low since it is plentiful and easily accessible to companies who sell it, even in areas of drought such as California. It is surprising that prices haven't gone up with an increased demand, even though the supply is limited in some areas. Obviously no one wants to pay more for water, but maybe increasing the price will encourage people to cut down their usage.
ReplyDeleteI think it is surprising that the price of water does not fluctuate or increase based on scarcity. There is not scarcity in every part of the world- only select areas. However,this scarcity could have the potential to spread.
ReplyDeleteI don't believe that prices of water should be raised. I think they are so low because suppliers understand that people are in need of water in order for survival. Therefore, people will buy it no matter what. You would think this would mean that they would increase their price, but all competitors keep it low. People buy/use it enough where the companies are still making money. I believe it is a good idea to charge citizens, especially in places such as California, for the extra water they use. This may seem "outrageous" to some citizens, but while there is a scarcity of it, it will raise awareness regarding the amount of water that is wasted such as in the shower. I think regulations are a positive thing as well- such as regulating the usage per flush when using the bathroom. This controls the amount of water that is wasted and proves a point of not needing very much. It may not seem like water is scarce, but it is something to consider when looking toward the future.
Water is a very high demand throughout the nation especially in places such as the south west and with water becoming so scarce it's surprising that prices haven't already been raised. In my opinion the price of water needs to be raised. As of right now, a 24 pack of water can cost as little as $3. How is that possible? if you include the price it takes to make the water bottle, the cost of the water bottles material, the transportation and more. How does it only cost $3? Water bottles are not something people NEED so I think raising the price would make people actually think of the cost and benefits.
ReplyDeleteI never really thought of the idea of water prices. I thought that in certain areas like the south west where water is low there aren't changes in price or rules of water usage. I think the price should change because if people are spending more money on water they will most likely use smaller amounts because no one really likes to spend more than they have to when it comes to utilities like water bills. Of course the price has to still be something affordable because it is a need in everyones life, but something should be done to make sure people aren't just wasting the water that they have.
ReplyDelete