The wise ones and many you call "foolish" will understand $1 water becoming $1.50 and the new water rising to whatever it cost to get it, but they will not tolerate 1000% gouging. Nor will they tolerate wasting or hoarding if they learn about it, to cut down two of your strawmen in a tearing hurry like they deserve.
The wise ones and many you call "foolish" will understand $1 water becoming $1.50 and the new water rising to whatever it cost to get it, but they will not tolerate 1000% gouging.
And the more ad-hoc merchants delivering goods and competing with each other, the lower the price. That is why it is so important that there be absolutely no threats or intimidation from the law or angry mobs.
But if relief agencies can't respond and the free market is suspended, then water will be sold at $10 a bottle -- by criminals with guns.