Regarding size, a company has three means of dealing with inflation (assuming that it does not want inflation to eat into its profit margin): (1) raise the price of its product, (2) reduce the quality of its product, or (3) reduce the size of its product (if applicable). It can also combine two or all of these factors in its strategy. Most consumers are very price conscious, meaning that the will notice price increases far more readily than a reduction in size or a decline in quality, so companies are very reluctant to raise prices. That leaves options 2 and/or 3. We can debate about the quality, but there is no doubt that candy companies have reduced the size of their candy bars. Consumers still pay the same price (or perhaps a bit more), but most are too stupid or unobservant to notice that they are paying the same amount for less. Isn't inflation wonderful? One nation, under God, and deep in debt...
