Does high demand for items like hand sanitizer and masks during a public health crisis justify higher prices? Are resellers who stockpile supplies and then sell them at a higher price providing a service? Or, are they taking advantage of people? Do you think what Mr. Colvin did is immoral?
First of all, from an economic point of view, an increased demand does justify a higher price in the market of a certain good/service. Often, there will be a shortage of goods due to the exaggerated demand for them.
However, in these times, especially a pandemic. In a moral sense, increased demand should not justify higher prices. It’s due to people like Mr. Colvin who hoards all of the supplies and increases the prices themselves that have caused the overall rise in price of goods such as hand sanitizers. They have their own explanation: making a profit out of people’s needs.
Nevertheless, if they did not clear out the shelves, people can buy them at its normal prices within stores, consumers will then benefit because they do not have to pay exaggerated tags on those products. However, at a loss of people like Mr. Colvin.
Personally, I do believe Mr. Colvin is providing a service this way by re-selling those products to people in need, however, we have to admit that they are indirectly taking advantage of people. At this time of a global pandemic, hand sanitizers are seen as a necessity. Thus, hoarding these necessities means that there will be lesser people who can have access to them. Ultimately, those people without it have to pay the higher prices for their demand.
