In the aftermath of hurricane Sandy the price of portable electricity generators in New York dramatically increased, in some cases by three to four-hundred percent.Such increases in price are referred to as "price gouging" and often lead to calls for price ceilings to be placed on essential goods in the wake of natural disasters.What are the likely effects of such a policy?

Question

Quizplus · Accepted Answer

The Answer of In the aftermath of hurricane Sandy the price of portable electricity generators in New York dramatically increased, in some cases by three to four-hundred percent.Such increases in price are referred to as "price gouging" and often lead to calls for price ceilings to be placed on essential goods in the wake of natural disasters.What are the likely effects of such a policy?

In the Aftermath of Hurricane Sandy the Price of Portable