Responding to post by another student below Price gouging is defined as raising the price of goods to unreasonably excessive amount in the midsts of a natural disaster. While the law simply states “unreasonably excessive” the collectively accepted price ceiling is 5%. Some states, like California, have actual stated percentages. A few of the articles we read this week gave excellent examples of price gouging. In fact one article talked about a law suit filed against a hotel right here in my town where i live. Charlie Crist filed a lawsuit against the Crossroads Hotel in Lakeland for price gouging during hurricane Charlie. Price gouging is a long debated issue. One hand it is economically smart for business to raise the prices of high sought after goods, on the other hand a question of morality comes in to play. One of the videos talked about the feeling of having to supply people with goods because they need it. Morally I would agree with this. Price gouging takes advantage of basic human needs when supply is low. However, if I were a business owner I could understand taking the opportunity to increase revenue by raising the price on highly sought after goods. When reviewing the graphs graph D applies to price gouging because the supply of goods decreases thus creating an increase in price.