PG = Propylene Glycol. PG is thinner than VG and acts as a flavor carrier and promotes throat hit.
VG = Vegetable Glycerin. VG is thick. It is also naturally sweet. VG tends to diminish flavor and throat hit slightly, but it produces very thick vapor.
Apart from sensitivity to one or the other, most people find a balance between the two that gives them the desired levels of flavor, throat hit and vapor. Because of the different viscosity, the ratio also plays a part in how well a
juice wicks, or flows into the heating coil. There is no right or wrong, just what works best for the individual.
Distilled water is also an ingredient used in ejuice, typically in high VG juice, and is mainly used to thin out a juice enough so that it wicks easily enough.