price gouging

Price gouging occurs when sellers significantly increase the prices of goods or services during emergencies or crises, such as natural disasters or pandemics. This usually happens when demand spikes and supplies are limited, allowing sellers to capitalize on consumers' urgent needs. While some price increases are natural market responses, gouging is considered unfair and exploitative because it takes advantage of vulnerable people facing difficult situations. Many jurisdictions have laws prohibiting excessive price hikes during emergencies to prevent this practice and protect consumers from being overcharged when they need essential items most.