Controlling to Detriment

"As the East Coast recently prepared for Hurricane Irene the state once again “heroically” stepped in to protect people from the evils of “price gouging.” Anti-price gouging laws went into effect (see here for one example) in order to control prices and thus protect consumers. The usual story goes that greedy businessmen raise prices on essentials in times when people need them most. The price becomes too high for the poor to be able to afford the basics such as water, batteries, flashlights, etc. This, in the common view, is beyond greedy; it is evil and heartless, denying individuals with what they need in times of crisis."