Hoarding [Finance] Law and Legal Definition
Hoarding is the act of accumulating assets. Especially goods or money, over and above that needed for immediate use based on the fear or expectation of future shortages and higher prices. For example, someone fearing a global collapse of the financial system might be inclined to keep bundles of cash or stockpile gold bullion in the closet. Such hoarding, if widely practiced, can actually contribute to the anticipated shortage and higher prices.
On a larger scale, hoarding can be a business strategy similar to monopolization, where an individual or organization attempts to temporarily control all available supplies of a given good in order to artificially increase the price. This strategy is also known as "cornering the market".
