Senator Elizabeth Warren wants companies to disclose the rationale for charging more for their products, and wants to empower federal regulators to go after companies—ranging from oil producers to food sellers—that have sharply increased prices.

Legislation she's drafted, obtained by Bloomberg News, would give the Federal Trade Commission (FTC) and state attorneys general more leeway to investigate sellers that charge excessive prices. The legislation also clarifies that price gouging anywhere in the supply chain is illegal.

Warren's bill is being introduced as consumer prices have been rising at the fastest rate in decades. With inflation becoming the top concern for voters, Democrats in Congress are seeking ways to tame price hikes ahead of the November midterm elections. However, getting the legislation passed would require the support of at least 10 Republicans in the evenly divided Senate, an unlikely prospect with GOP lawmakers pinning blame for high prices on Democratic policies.