Chile exemplifies the mismanagement of water resources where governments have historically granted unlimited and free pumping rights to landowners, leading to unsustainable depletion of groundwater. This has resulted in farmers competing for dwindling supplies without a structured method to allocate resources efficiently. A crucial missing element is the lack of a price on water, which would incentivize reduced usage and promote conservation. While debates persist over whether water is a human right or a property right, the absence of economic valuation leads to systemic waste and inefficiency in water management.
Water scarcity is growing even in parts of the world that used to be drought-free. Since most countries waste vast quantities of water, charging for it would help. Our correspondent travelled to America’s northern border to report on illegal crossings from Canada (8:57). And the life of biological anthropologist Helen Fisher, who studied the science behind love (16:41).
Listen to what matters most, from global politics and business to science and technology—Subscribe to Economist Podcasts+
For more information about how to access Economist Podcasts+, please visit our FAQs page or watch our video explaining how to link your account.