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What you need to know about “contraction”: the “stealthy cousin” of inflation
Do you ever feel like there’s less in your favorite cereal box? Or that, even though you can’t put a finger in it, it doesn’t draw as much liquid from every Gatorade you drink?
That feeling is not always in your head. Sometimes it’s a real reality.
Smaller Gatorade bottles and smaller cereal boxes are just two examples of what is known as “shrinkage”: the practice of companies reducing the contents of packages while charging the same prices.
“I’ve seen it described as this stealthy cousin of inflation,” said Matthew Philp, an assistant professor of marketing at the Metropolitan University of Toronto.
He says companies can make smaller or differently shaped packaging, or put less product inside. “It’s just to hide the fact that their prices are rising.”
For consumers, it can be difficult to detect because stores often clean up old products before replacing them. Reducing inflation is not new, but experts say it happens more often in times of high inflation, such as, and affects almost every type of packaged product. Read more
Did you notice any examples of contraction near you? Email us with photos at marketplace@cbc.ca
How inflation affects Canadian consumers
To cope with the impact of rising inflation, companies are reducing the size of packages while charging the same prices in what is known as reduced inflation. Experts suggest that consumers can avoid reducing inflation by paying attention to the unit price rather than the total price.
How this man fought for $ 5,200 after a travel agency spent his airline vouchers on other customers
Surinderpal Gill relied on the travel agency where he bought tickets for a family trip to India two years ago.
But then he found more than $ 5,200 and his trust was shattered.
Last June, Air Canada sent Toronto-based All Link Travel three vouchers to compensate Gill for the return flights that were canceled as aviation land in the midst of the pandemic.
But instead of telling him, Gill says the travel agency repeatedly said there was no sign of the valuable travel documents. He then used these vouchers to pay for other people’s travel.
“I feel betrayed,” he told Go Public. “How can anyone use my money without my consent?”
Gill is one of thousands of Canadians who have been fighting for months for travel vouchers issued in the midst of the pandemic. Many say that the same travel agencies they used aggravate their problems in getting vouchers or refunds from the airlines.
All Link Travel claimed the vouchers had been misused, three times, but it wasn’t until Go Public got involved that it paid Gill.
The agency declined an interview request. Instead, a representative, who did not provide his name and called Go Public using a blocked phone number, repeatedly promised to send a statement, but never did.
Gill says he’s grateful to get his money back, but the experience was grueling.
“Everything worked,” he said. “At the same time, I still feel like this shouldn’t have happened.” Read more
Air Canada gave Surinderpal Gill of Brampton, Ontario, vouchers worth more than $ 5,200 in compensation for flights that were canceled in the early days of the pandemic. He was annoyed to learn that his travel agency had spent them on other clients’ travels. (Kimberly Ivany / CBC)
Rising fuel prices are hampering Canadians’ long-awaited travel plans
Does the end of most COVID restrictions make you itch to get on the road?
You’re almost not alone, but rising gasoline prices are holding back many summer road trips planned this year.
With gasoline at more than $ 2 a liter in much of the country, these long-awaited trips to reconnect with loved ones or enjoy a much-needed vacation have lost some of their luster.
According to a new poll, two-thirds of Canadian drivers surveyed said rising gas prices are likely to force them to cancel or limit their road trips this summer.
While no longer concerned about the requirements for COVID-19 testing when crossing the border, Ted Hilton of Ingersoll, Ontario, said he will not be visiting the family in Michigan this summer due to high gas prices. . (Craig Chivers / CBC)
The survey, conducted by Leger for the Tire and Rubber Association of Canada, surveyed 1,538 Canadians in April. The survey had a comparable margin of error of about 2.5%, 19 times 20.
“It’s a little daunting,” says Ted Hilton, 81, of Ingersoll, Ont.
He lives on a fixed income and was looking forward to visiting family in Michigan now that the test requirements at the border have been raised.
But he says he can’t afford to drive the 460 miles until the price of gas goes down.
“It depends on keeping in touch with friends and family … and not being able to travel and meet them makes you feel more isolated.” Read more
What else is going on?
Some Jif brand peanut butter withdrawn due to salmonella. Remembered products must be discarded or returned to the place where they were purchased.
Do you feel poorer? The reverse effect of wealth can increase the spending of Canadians. Falling house prices, stocks and cryptocurrencies are expected to cost Canadian savers less.
Bedbugs and cockroaches: International students in Sudbury, Ontario, are suing the owner for converting 14-bed homes. Tenants say a 3-bedroom house has become a space for 14 people, infested with cockroaches, bedbugs and rats.
How AI-equipped technology could help doctors better diagnose mental health problems Movement has potential, but experts say users should proceed with caution.
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