Dr. Horwitz asks a fantastic question. And great additional links below worth checking out. If you get a chance listen to this interview, Munger on Price Gouging, it’s absolutely spot-on.
[UPDATE: 11.05.12 8:30pm: Ever get the feeling that they’ll simply never get it? – New York attorney general launches Sandy price-gouging probe – Reuters]
I’ll ask a related question. If the now alleged “gouging” price is too high, please explain what made the previous price proper or correct?
A Question for the Defenders of Anti-Gouging Laws – Bleeding Heart Libertarians: If you believe that it is a good thing to pass laws that prevent sellers of water or ice or generators from raising their prices after a natural disaster, are you willing to pass a similar law that prevents roofers, carpenters, cleaners, electricians, and plumbers from asking for a higher hourly wage in that situation? We know that after natural disasters people in these professions command higher wages. If not, what’s different about the cases?
Price Gouging Laws Hurt Storm Victims – Forbes
Want to End Sandy Shortages? Let Gougers Gouge! – Forbes
Economics of Natural Disasters
The Law of Demand – The Freeman
Gas Lines, Gouging, and Hurricane Sandy: Keeping Prices Low Means Nobody Gets Fuel
Hurricanes Are Nature’s Keynesianism
Munger on Price Gouging
The Price is Right