Sunday, October 11, 2009

What Needs to Happen When Demand Exceeds Supply?

California is facing a serious water shortgage but does not have the money to invest in new dams and reservoirs:

Mr. Schwarzenegger has said the state needs more dams to help store water for its growing population. "We have been decades talking about water infrastructure, and we've got to bring it up to date," he told a conference of community-college trustees in San Francisco Thursday.

But Assembly Republicans and some Democrats call a $12 billion bond measure supported by the Senate too costly. The timing is bad for a big bond measure, they say, given that California lawmakers have already used billions in bonds to help close a series of past budget deficits. "Going to the voters and racking the credit card up another $12 billion is a very hard sell," said Jared Huffman, a Democratic assemblyman from Marin County.

How about raising the price of water so that California stops trying to grow food in the desert? Oops, never mind, that would make too much sense.

17 comments:

Steve M. said...

Water is a right, Jeff

rkowal said...

@Steve M - "water is a right"

Your statement reminds me of the communist slogans, that "equal" pay is a "right". What does it mean that it is a "right"?? Perhaps all bottled water should be free? water should be completely "free" (to individuals, businesses, desert-farm irrigation systems in CA)? BUT THEN someone has to pay for it - taxpayers - unless each person pays the price for their consumption level of water

Water is like any other 'good' - extending your reasoning I believe you'd want all food to be 'free'. Just like with food, water has to be prepared (cleaned) &transported, &the transport networks have to be maintained - all of this is very COSTLY ~ &if the amount of water in the reservoirs decreases, i.e. supply falls, well then PRICES SHOULD RISE (which publicly owned/regulated enterprises often fail at, resulting in water &other 'goods' shortages)

The lack of logical thought and basic economic literacy is often astonishing...

Steve M. said...

your inability to detect sarcasm is astonishing

Steve M. said...

but some people actually do believe that so... "The lack of logical thought and basic economic literacy is often astonishing..."

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