Criticism of Shrinkflation: Elizabeth Warren and Madeleine Dean Target Corporations

Elizabeth Warren, a Democratic Senator, and Madeleine Dean, a Representative, have sharply criticized Coca-Cola, PepsiCo, and General Mills for their pricing policies. The politicians accuse the companies of achieving unexpected profits at the expense of consumers through shrinkflation. Shrinkflation refers to the phenomenon where product sizes are reduced while prices remain unchanged, effectively leading to hidden price increases. Warren and Dean have expressed their dissatisfaction with this practice in separate letters to the CEOs of the affected companies. The criticism particularly focuses on methods where the sizes of products like soft drinks or breakfast cereals are reduced to increase the companies' profit margins. The political representatives are calling for more transparency and responsibility from the corporations in their dealings with consumers.