Inflation and Reduflacion 📉 📊 \ stacker news ~econ

Here's a clear real-life example of these two concepts.

5 years ago you could buy this same ice cream for 1 PEN.

Then they reduced the size of the product (reducflation) and you paid the same.

Then it went up to 1.5 PEN and remained at a reduced size, so finally today [[Apr 29th, 2025]] its retail price is 2 PEN (inflation) I need more currency to buy the same product.

That is, the PEN (Soles) you earn today have approximately only 50% purchasing power compared to 5 years ago. (They only buy half as many things as they did a few years ago).

Today, thanks to Bitcoin, I've been able to learn more about these vitally important topics, essential for avoiding the traps of the fiduciary system, which is there to impoverish us every day with the scam of colored papers. 💵

Thanks for reading. 👋🤠

Do the Stackers have any examples of this? Where do the two concepts apply?

I'd like to hear your opinion.

0 sats \ 0 replies \ @purpurato 17h

The latest BIG mac

0 sats \ 0 replies \ @Undisciplined 20h

I've never heard "reducflation" before. We mostly use "shrinkflation" for the same idea.

One of the patterns that plays out is shrinking the product, rather than raising the price, then introducing a new "grand" or "large" version that's the same size as the old one.

There's another interesting trend, that I refer to as "intensive shrinkflation", which is reducing the quality of ingredients (or inputs more generally) as a cost control method.