An arguement against price gouging taken from the following website:
http://asgcritique.blogspot.com/2006/09/no-such-thing-as-price-gouging-in.html
Read it... you might actually learn something
If price gouging existed in the marketplace, then that means a business can force a person to pay for its goods or services. But setting a price never involves force, because the consumer always has the freedom not to buy. Price is never an ultimatum on the customer; it has always been an offer.
When we think about "price gouging", we think of monopoly prices like those for airline tickets offered by Hawaiian Airlines. Since no other airline exists then the people seem to have no choice but to pay HAL airfares. But that is still the wrong assumption because many people choose not to fly at current prices anyway. They just stay at home.
HAL understands this. There is limit to what people are willing to pay. This is called the law of demand. Raising the price any higher will reduce the current volume of traffic that now maximizes HAL profits. If HAL can supposedly gouge the consumer in the sense that they are using force to get their way, then the company wouldn't stop at a $1000 per ticket. They would increase fares to two or three thousands dollars if there were no limit to what consumers would pay.
It is with this same reasoning that environmentalists now demand that the government force gas prices up to $4 to $5 a gallon. You would think that gas station owners and Big Oil would join the environmental choir, but they choose not to. They understand that the current level of patronage relative to current costs of business maximize profits. Raising the price runs the risks of reducing their number of customers and thereby reducing their profits.
Perhaps they and the environmentalists realize that demand for gas is not as inelastic as presumed before. People start to conserve by running errands all in one trip, carpooling, buying smaller vehicles or taking other means of transportation. Prices to a point encourage people to conserve and buy less (what the environmentalists want), which translates to reduced profits (what businesses don't want).
In the end, price gouging doesn't exist for the simple fact that you and I have the right to our individual property. No one around says there should be a limit to the price we set for our own homes. You could "price gouge" your one bedroom house for a million dollars if you want to, but that doesn't mean someone is going to buy it. But what you think your property is worth is not only priceless; it's a fundamental and inalienable right.
However, there is only one real price gouger in the world. It is the government, which uses the political process to sanctify its thievery but calls it taxation and regulation instead.