Unit 6 Inflation/ Skimpflation/ Shrinkflation

According to Arlan Cole, why do official statistics make inflation seem worse than it really is? (Paragraph 8)

• The data fails to capture improvements in product quality.

•  The data doesn’t reflect the true rate of inflation.

• The data shows the true rate of inflation.

•  The data is collected using outdated methods.

Which of the following is NOT a consequence of skimpflation?

• Smaller portions of food served in restaurants.

• Reduced quality of goods and services.

• Increased consumer spending.

• Higher prices for consumers.

According to paragraph 11, why are some companies facing increased costs?

• Decreased production

• Higher energy costs

• Increased demand for goods

• All of the above

What is the most accurate definition of timeliness?

• Delaying tasks until the last moment

• Acting or arriving at the right or appropriate time

• Taking your time to ensure accuracy

• Doing things slowly and carefully

A “seller’s market” means consumers have more control over prices, which makes skimpflation less likely to occur.

• True

• False

Which of the following is an example of skimpflation in the food industry?

• Lowering menu prices to bring in more customers but keeping portion sizes the same.

• Increasing portion sizes to offer more value without raising any of the prices.

• Switching to higher-quality ingredients while increasing prices accordingly.

• Offering smaller portions or using cheaper ingredients but maintaining the same price.

The word "axing" in the context of jobs or services refers to:

• Reducing or cutting them

• Offering them for free

• Expanding them

• Increasing their availability

The phrase "having the upper hand in transactions" refers to:

• Equal power between buyers and sellers

• Buyers getting the best deals

• Sellers having more control in the market

• Prices being set by both sides

The phrase "stealth-ninja kind of inflation" uses "stealth" to suggest that:

• The inflation is easy to notice

• The inflation is happening quietly and unnoticed

• The inflation is aggressive and direct

• The inflation only affects certain sectors

The phrase "wash-and-wear performance of fabrics" refers:

• How soft fabrics become after being washed

• How quickly fabrics dry after being washed

• How durable fabrics are when exposed to water

• How well fabrics retain their appearance and quality after being washed