Question

Lecture 2.
Professor asked to better way of allocation of the water in California.
He said each person uses 1000 gallons of water every year. Lets consider that true.
We need some mathematical model for this but for the sake of understanding my solution let's say government charges same price each person for first say 700 gallons or 600 gallons and prices after that will double or increase by "X" amount. Will this model work?