Something is worth only what someone else is willing to pay for it. In a sense it does not matter what it costs to produce. If you can't sell it at the list price, then the product or service is not worth the price you are charging. You will have to change your price and find a way to lower the cost of production if you want to turn a profit. Controlling prices is a sure way of limiting supply. If a business goes through extra effort and expense to secure additional supplies or products should they be limited to pre-Sandy prices? Businesses look at price gouging laws and determine it is not profitable to bring additional supplies into a disaster area.
Here's a which-is-better question for you. Suppose a New Jersey motel room rented for $125 a night prior to Hurricane Sandy's devastation. When the hurricane hits, a husband, wife and their two youngsters might seek the comfort of renting two adjoining rooms. However, when they arrive at the motel, they find that rooms now rent for $250. At that price, they might decide to make do with one room. In my book, that would be wonderful. That decision would make a room available for another family who had to evacuate Sandy's wrath. New Jersey Gov. Chris Christie and others condemn this...
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