Harris wants to ban price gouging to curb food inflation; food companies fight back

Vice President Kamala Harris officially accepted the Democratic Party’s nomination for president last night – capping off a thrilling four-day party convention.

But questions remain about Harris’s policy agenda. And one proposal that came under scrutiny last week is a nationwide ban on price gouging.

Harris claims this will prevent food companies from driving up prices. But the food industry is fighting back, arguing that prices are fair and determined by market forces.

Brooks Johnson, who covers food and manufacturing for the Minnesota Star Tribune, has been following the situation and says there are two sides to the story.

“It hurts when prices go up so fast and so much — and this price shock really makes us ask ourselves, ‘Are we being ripped off?'” he said. “Food companies say no, because if you look at their profit margins, they haven’t gone up significantly — at least at General Mills and Hormel.”

Johnson reported that food producers said they “want to make up for increased costs,” and noted that more details are needed to understand how a federal ban on price gouging would work.

To learn more about the causes of food prices and the proposal to ban price gouging in the food sector, click “Play” in the player above.