A Stitch in Haste

The Georgia Department of Consumer Affairs is celebrating its first "settlements" with (i.e., shakedowns of) 15 gas stations that supposedly engaged in "price gouging" after Hurricane Katrina --

OCA began price gouging investigations immediately after Governor Perdue’s August 31, 2005 Executive Order to control spiraling motor fuel costs in the wake of Hurricane Katrina. The statewide settlements include both consumer restitution and civil penalties ranging from $1,000 to $10,000 depending upon the severity of the violation.

"I refuse to stand by and watch while Georgia citizens are being exploited," said Governor Sonny Perdue. "Gasoline price gouging will not be tolerated, and we will continue to track down businesses who took advantage of Georgians during the hurricane crisis."

The Governor's announcement today marks the first wave of settlements. OCA is investigating more than 100 potential cases. OCA received more than 3,300 complaints or inquiries regarding price gouging since August 31, 2005.

Of course, it's unclear why Georgia's hack politicians and bureaucrats think that small retail gas stations have sufficient market power to "price gouge," but not enough market power to simply pass on the cost of the fines to customers. Go figure.

And in case you're wondering, Georgia defines "price gouging" as any increase in the price of any good deemed "essential" after a state of emergency has been declared. In other words, it is the stated, criminally and civilly enforced policy of Georgia to create shortages of vital supplies in time of crisis. Brilliant.

Who gets to declare a state of emergency when a state is flooded with idiot politicians and bureaucrats?

(Via Fark.)