Raising the prices on vital necessities during a global pandemic? That’s the U.S. for you. This action is described as price gouging, which is, more specifically, charging customers astronomical prices for goods or services, whilst taking advantage of the fact that this good or service is in especially high demand and limited. Unfortunately, there have been enormous cases of price gouging throughout the U.S. since the beginning of February, when the first person died of the coronavirus.
An example of price gouging that made national news was a man named Matt Colvin, who made it his goal to buy out every last hand sanitizer in his area and surrounding areas. According to The New York Times, “Mr. Colvin said he had posted 300 bottles of hand sanitizer and immediately sold them all for between $8 and $70 each, multiples higher than what he had bought them for.” For a businessperson, this would appear as amazing profits, but from a moral standpoint, this was utterly wrong and distasteful. Mr. Colvin monetized the pandemic for his own personal gain, and his poor buyers couldn’t do anything about it, as they wanted to keep themselves safe.
After receiving vast criticism and attention from the internet, Amazon and eBay cracked down on price gougers like Colvin. Colvin has since donated his supplies to those in need.
Colvin is from Tennessee, and like every state, they have different forms of price gouging laws. Here in North Carolina, we have seen cases of price gouging, some more severe than others. NC Policy Watch reports the case of a woman who suffered at the hands of price gouging. Several days after Gov. Cooper declared a state of emergency, a woman named Joannie Valencia was forced to pay almost $50 for two bottles of 70% isopropyl alcohol, something that usually costs $2-3 max.
Another report was made by a Duke University employee, whose job was to find the CDC-approved N95 masks and hand sanitizer, and found, upon looking, a New Jersey corporation that had raised the cost of masks by 1,650%.
According to NC Policy Watch, “The employee stated in the report that masks when acquired through the normal healthcare supply chain channel cost $17 for a box of 35, and that that price at one company hasn’t changed. Stephen Gould, in contrast, had quoted a price of $297.50 for a box of the same 35 masks.”
North Carolinians have not only price gouged in a pandemic, but during natural disasters as well. The NC Department of Justice reports “After Hurricanes Michael and Florence devastated North Carolina in 2018, Attorney General Stein brought seven lawsuits against 22 defendants under North Carolina’s price gouging statute. He has obtained eight judgments against 17 defendants, including a $274,000 settlement that was one of the largest price gouging settlements in the department’s history. The Attorney General’s Office has won more than $725,000 in these judgments.”
I didn’t really think price gouging occurred until I saw it happening in my hometown. There’s a bagel shop near my house, and I noticed a sign that said “We have disinfectant and wipes, $20 for a box!” It seemed strange to me to see this from a bagel shop, but looking back, this was a clear instance of price gouging. It frustrated me to see someone taking advantage of important supplies like that, but fortunately, I believe they have stopped selling them now.
For a country whose name starts with the word “united,” COVID-19 has revealed severe flaws in our values. It is critical at times like now, that people come together to rid the country of money-hungry price gougers who will stop at nothing to monetize this pandemic. Citizens of North Carolina, I plead that you do your part as a citizen and not succumb to the traps of price gougers. If you feel you have been a victim of price gouging, you may file a claim here at https://ncdoj.gov/file-a-complaint/price-gouging/.
