Burrito contents were pretty light today at lunchtime. Thereâs an important lesson to learn about economics at a time that inflation continues to surge to 30-year highs.
â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â â   Saddest, Greatest Burrito Ever Dear Reader, Now, hereâs something you can do to understand how absurd inflation has become. Order Chipotle for lunch. Seriously. If youâre hungry, order a burrito. Today, I ordered a beef brisket burrito. Of course, I threw every condiment they had on top of it. And when it arrived at my house, not only had I paid an extra $1 for what I bought last year⦠I also got a burrito about 85% of the size of the one I purchased a year ago. You see, prices arenât just going up. But the products are getting smaller. It was noticeable in this burrito â which was delicious, by the way â and now Iâm still hungry. Typically, it would take me a specific amount of time to eat Chipotle. There was a ritual. But I noticed that it was a faster lunch, which I suppose I can thank them for saving me two extra minutes to my day? Getting less for more is known as "shrinkflation." You can see it in the packaging of everything that youâre buying today. The Doritos bag is a little lighter. I noticed that the $1.29 bag that increased to $1.59 dropped its contents by about a half-ounce. The box of cereal is getting smaller. General Mills cut its "Family Size" boxes from 19.3 ounces down to 18.1 ounces. The bottled drinks are getting slimmer. Sponsored Message TAKE THAT CABLE BILL AND⦠Then, count the seconds it takes for the entire thing to burn right up. Because in that same amount of time, you could potentially earn huge profits⦠but youâll only have this opportunity if you act fast. [Click here to find out why »]( Did you notice? Yes, less for more. Shrinkflation is an evil cousin of inflation. Downsizing is a sneaky way to increase prices on Americans. Itâs easier to tell when prices are going up when the gallon of milk goes from $3.49 to $4.29 in a year. Itâs easy to notice when the candy bar goes from $0.99 to $1.49. But packaging? You donât notice the slowness of the process. But thatâs not the only thing that companies do. So yes, I got a smaller burrito today. And yes, I quickly noticed. Still, I recognize that the company has higher input costs for food as well. So, they have to do something else. Chipotle is being smart. For a "limited time," they are charging an extra $2.00 for a cheaper product than steak â it just takes a little longer to cook. A beef brisket taco. It feels like a delicacy. Itâs honestly a clever marketing trick. And it will help boost their margins and help push them through the inflationary quarters and protect their shareholder interests. Youâll notice right now that the McRib is back at McDonaldâs right now. This is because pork prices are low right now compared to chicken, beef, and other meat products... so a special product with a special marketing message that offers a nice marginal bump will make shareholders happy.
Itâs that simple⦠Itâs good for the trader. Itâs good for the investor. Unfortunately, Iâm not sure that the consumers know the same. Iâll follow up with more on this trend very soon. Enjoy your day, Garrett {NAME}
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