shrinkflation

Two Democratic lawmakers are accusing major corporations Coca-Cola, PepsiCo, and General Mills of engaging in "shrinkflation," a practice where companies reduce product sizes while maintaining or raising prices. The accusation comes amid concerns that the companies are driving profits by shortchanging consumers, especially during a period of rising costs and inflation.

The lawmakers argue that while these corporations have reported billions in profits from 2018 to 2022, they are benefiting from favorable tax rates far below the corporate tax rate of 21%. According to their findings, Coca-Cola made. . .