What Exactly is Price Gouging?
Price gouging is a practice that has been circulating around the entire nation for a very long time. It is a practice that is considered highly unfair and is something that many citizens of this nation protest against. Price gouging is the act of increasing the prices of all goods and services, to an amount that is highly unreasonable.
This then prompts a major nationwide problem in which many families struggle to meet up to these standards. This is especially due to the thousands of low-income neighborhoods in which these families are affected the most by price gouging. This is why action will begin to be taken against price gouging.
What exactly is the white house planning on doing in regard to price gouging?
For a while, due to the multitudes of protests, there has not really been much done in regard to price gouging. However, there has been word that the White House is beginning to take action. “To turn the tide, almost exactly two years ago, President Biden signed a landmark Executive Order establishing the White House Competition Council and directing a ‘whole of government’ approach to [promote] competition,” according to The White House.
This executive order has been signed and approved in order to lower the costs throughout markets spread across the nation. It is also something that has been used to support agriculture, as it is a very vital part of the food industry.
how does the executive order focus on agriculture?
Agriculture has been an industry that has been failing over the years due to price gouging in particular. It is also becoming very difficult to grow fruits and vegetables due to a changing climate. Additionally, a lack of resources provided by the government has also been contributing to this long-lasting problem. However, this order specifically wants to focus in on the agriculture sector, finding ways to decrease the cost of resources.
“Under the Agricultural Competition Partnership, this bipartisan group will be able to harness all available legal enforcement tools—at both the state and federal level—to help lower food prices and promote competition in agricultural markets,” according to The White House. Promoting competition is essential in regard to finding a proper solution to this problem.
What about renting issues that are common across the nation?
Renting has certainly been an issue in regard to hidden fees and the high cost of renting per month. However, the White House has also addressed this issue in regard to price gouging.
“Renters should soon be able to expect more transparency on what they’ll pay for their apartments, as some major online real-estate marketplaces agree to include hidden costs — like application and convenience fees — in their upfront advertised pricing,” according to CBS News.
Therefore, because of this transparency, there will no longer be hidden fees when renting. They will be upfront, and the renter will know what they are paying for.
Racial Disparity Factored In
Also being acknowledged are the people that are most affected by “junk” fees. “They disproportionately harm Black, Hispanic and Asian renters, who are more likely to be charged application fees, according to a report from the U.S. Department of Housing and Urban Development published Wednesday,” according to the U.S. Department of Housing and Urban Development.
However, just like all executive orders, it will certainly take time to carry these things out. There is a large majority of people that have been negatively affected.
Since these things are being addressed, there are families that are finally getting able to breathe a sigh of relief. However, there will still be an issue of there being many low-income neighborhoods across the country.
Written by David Loran Jr
Sources:
CBS News: White House targets junk fees in apartment rentals, promises anti-price gouging help
The White House: FACT SHEET: White House Competition Council Announces New Actions to Lower Costs and Marks Second Anniversary of President Biden’s Executive Order on Competition
U.S. Department of Housing and Urban Development: In Case You Missed It: Biden-Harris Administration and HUD Announce Actions to Limit Junk Fees in Rental Housing
Featured and Top Image Courtesy of stingrayschuller’s Flickr Page – Creative Commons License
Inset Image Courtesy of Markus Spiering’s Flickr Page – Creative Commons License
