Cookie Monster Cries Foul Over Shrinking Snacks Amid Persistent Inflation

Cookie Monster complained on Twitter about "shrinkflation", where companies reduce product sizes without lowering prices, due to high inflation. He said his cookies keep getting smaller.

Prices remain high despite cooling inflation recently. Goods like coffee, candy, toilet paper shrank in size last year per a Senate report, with paper goods seeing a 34.9% price increase per unit since 2019.

Companies often shrink products rather than hike prices during inflationary times, as consumers notice price hikes more. But debate continues whether current downsizing is due to costs or profit motives.

The article sparked reaction from politicians and economists. Sen. Sherrod Brown and others blamed "CEO bonuses", while some pledged legislative action.

Fed interest rates remain high to curb inflation. Prices are still above pre-pandemic levels, worrying some on Wall Street that inflation may prove stubborn. Fed Chair Jerome Powell testifies to Congress this week.