Marketplace All-in-One Not everyone’s stretching the dollar the same way
Oct 24, 2025
In this conversation, Marketplace reporter Matt Levin discusses how consumers are stretching their dollars differently in a 'K-shaped' economy, with higher earners buying in bulk while lower earners face tougher choices. Yasmin Tayeg highlights the candy industry's struggles due to a global cocoa shortage, threatening Halloween treats. Bloomberg's David Gura provides insights on recent CPI data and Fed policy implications, while Rachel Siegel dives into economic uncertainty affecting trade and the job market for recent graduates.
AI Snips
Chapters
Transcript
Episode notes
Shutdown Hampers Economic Visibility
- The partial government recall delivered delayed CPI data, but future data collection may be limited during the shutdown.
- Limited data increases uncertainty for Fed decisions and economic visibility going forward.
K-Shaped Consumer Spending
- Inflation is creating a K-shaped consumer split where higher earners buy in bulk while lower earners economize per use.
- Companies and retailers are adapting product sizes and packaging to serve diverging spending patterns.
More Size Choices For Tight Budgets
- Consumer staple brands now offer many sizes (half, quarter) to match tighter budgets and storage limits.
- Middle-income shoppers increasingly behave like lower-income shoppers when storage or cash constraints bite.