FAST FIVE: Shrinkflation, Inflation's Sneaky Cousin, Is On The Rise

Published by on

Shrinkflation is so widespread today that there is a dedicated Reddit page for it.

As you may already be aware, many are blaming shortages and disruptions in the supply chain for the recent increases in inflation, but that hardly explains the whole story.

In general, we know that the more money we print, holding all else equal, the more inflation we will get, and that is part of what we are seeing now.

The Fed insists that this inflation is transitory, but many, including BlackRock's CEO, are concerned that this may not be the case.

Whether this will happen or not remains to be seen, but one thing is for sure: the shrinking size and weight of the products is here to stay and it will only get worse as inflation pressures continue to worsen.

Categories: ZH