Kentucky Gov. Matt Bevin, whose brother is an EPJ reader, activated the state’s prohibitions on price gouging to "protect"consumers during strong weather system that continues to affect a significant portion of the state.
The price gouging emergency order went effective on Friday as of 5 p.m. EST, July 7, 2016. The order will remain in place for at least 30 days.
“In coordination with state authorities, I have put in effect prohibitions on price gouging in order to ensure Kentuckians pay appropriate prices on essential services and supplies during this continuing, severe storm and flooding,” said Gov. Bevin. “We urge Kentuckians to continue to take the necessary precautions needed to stay safe and to report any price gouging activity.”
This is just a politician posing as an important actor when he is just gumming up the market.Price gouging laws just create shortages and distort price signals, which makes them all the worse during an an emergency situation.,
As Tom Woods put it: "Prohibiting such activity across the board only handicaps the market in its effort to make current stocks of goods last during the crucial days following a disaster."