An example of price gouging is ________.
A) raising prices on bottled water when there is a threat of severe weather
B) lowering prices on gasoline immediately after September 11, 2001
C) having a lack of batteries on hand when severe weather is forecast
D) lowering prices on gasoline after a hurricane damages an oil refinery

Question

Quizplus · Accepted Answer

Price gouging involves raising prices to an excessive or unfair level during times of high demand or emergencies. In this case, raising prices on bottled water during a threat of severe weather would be an example of price gouging. Lowering prices on gasoline after a disaster or terrorist attack is not considered price gouging since it involves reducing prices rather than increasing them. The lack of batteries on hand when severe weather is forecast could be due to supply chain or logistics issues rather than intentionally raising prices, so it is not necessarily an example of price gouging.

An Example of Price Gouging Is ________