3 ms·

Price gouging laws typically apply at the consumer point of sale, I'm not sure they prevent a higher price from factory to store.

• waterhouse 7y ago
  If the law prevents the store from charging a high price to the consumer, then that effectively prevents the factory from charging a high price to the store, because the store would make a loss if it accepted that price.
  • kharms 7y ago
    >>What if a seller increased the price of a good or service because the seller’s costs of providing the good or service increased? >If the seller can prove that the increased price is directly attributable to increases in the cost of labor or materials needed to provide the good or service, the seller may not be liable under the statute. It's right there on the linked page. This basically prohibits large markups while allowing for passing of costs.