DYSPEPSIA GENERATION

We have seen the future, and it sucks.

The Economics of the California Water Shortage

20th March 2015

Alex Tabarrok, a Real Economist, discovers that his Bullshit Meter has gone off.

California has plenty of water…just not enough to satisfy every possible use of water that people can imagine when the price is close to zero. As David Zetland points out in an excellent interview with Russ Roberts, people in San Diego county use around 150 gallons of water a day. Meanwhile in Sydney Australia, with a roughly comparable climate and standard of living, people use about half that amount. Trust me, no one in Sydney is going thirsty.

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