You don’t really “waste” water as it all ends up back in the cycle eventually.
What you are really wasting is clean and safe water. There are costs and capacity issues with obtaining water as you don’t want to be drinking water that’s been flushed through someone’s toilet.
Some water sources are also being drained faster than they are refilling, such as underground aquifers which take thousands of years to refill or the colorado river which is having more water taken out than flow into it.
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