In this episode of The Missing Middle, Mike Moffatt and Sabrina Maddeaux dig into the rise of shrinkflation, from grocery store products like cereal and Kraft Dinner to Canada’s shrinking condos, and reveal how companies, developers, and government policies are quietly giving Canadians less for more. From deceptive packaging and behavioral economics tricks to the rise of shoebox condos and poor layouts, we explore how rising costs, investor-driven development, and flawed housing policies are reshaping everyday life. If you’ve ever wondered why your groceries don’t stretch as far or why today’s apartments feel more like closets than homes, this is a conversation you won’t want to miss.Chapters00:00 Introduction01:08 Understanding shrinkflation02:54 Sabrina’s a KD fangirl - who knew?05:12 The economics behind shrinkflation07:22 Price anchoring explained08:25 The shrinking size of living spaces11:52 Why are units getting so much smaller?15:39 What’s driving bad design?18:02 Generational perspectives on housing preferences19:22 Constrained optimization explained21:26 Is the investor condo market dead?23:30 Policy changes to combat shrinkflation research/links:Working paper Mike refers to: Shrinkflation∗<a href='https://drive.google.com/file/d/15tpbhBziggFL-RvjlVgjqBQcNXzcIrWh/view'>https://drive.google.com/file/d/15tpbhBziggFL-RvjlVgjqBQcNXzcIrWh/view</a> Condo size data<a href='https://www.mpac.ca/en/News/PressRelease/spacioushomescompactcondosMPACdatarevealsshiftinghousingtrendsacrossOntario'>https://www.mpac.ca/en/News/PressRelease/spacioushomescompactcondosMPACdatarevealsshiftinghousingtrendsacrossOntario</a>  The condo crash won’t fix our housing problem. In fact, it just might make it worse<a href='https://www.thestar.com/opinion/contributors/the-condo-crash-wont-fix-our-housing-problem-in-fact-it-just-might-make-it/article_7c44519f-cdbe-4978-b575-ffc1ef9a76bd.html'>https://www.thestar.com/opinion/contributors/the-condo-crash-wont-fix-our-housing-problem-in-fact-it-just-might-make-it/article_7c44519f-cdbe-4978-b575-ffc1ef9a76bd.html</a> Hosts: Sabrina Maddeaux https://x.com/SabrinaMaddeaux Mike Moffatt https://twitter.com/MikePMoffatt https://bsky.app/profile/mikepmoffatt.bsky.social Producer: Meredith Martin https://twitter.com/meredithmartin @meredithmartin.bsky.social Editor: Sean Foreman@seanegertonforeman@seanforeman.bsky.social Coop Student: Djeima Alicia Ramos This podcast is funded by the Neptis Foundation https://neptis.org/Brought to you by the Missing Middle Initiative https://www.missingmiddleinitiative.ca/ Hosted by <a href='https://twitter.com/MikePMoffatt'>Mike Moffatt</a> & <a href='https://twitter.com/carastern'>Cara Stern</a> & <a href='https://x.com/SabrinaMaddeaux'>Sabrina Maddeaux</a> Produced by <a href='https://twitter.com/meredithmartin'>Meredith Martin</a> This podcast is funded by the <a href='https://neptis.org/'>Neptis Foundation</a> and brought to you by the <a href='https://institute.smartprosperity.ca/'>Smart Prosperity Institute</a>.

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