Everything is shrinking. A half gallon of ice cream is 1.5 quarts. A pound of many things is 14 ounces. Even bacon comes in 12 and 14 oz. Even the Columbia Supremo coffee at Costco has gone from 3 pounds to 2 pounds.
What has not shrunk is the size of the package.
Myself, I would rather bite the bullet and pay the higher price for a pound or gallon of something rather than suspect that someone thinks I am too dumb to notice.