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Agitation is what causes a lot of shrinkage. Higher speed spin cycle will increase this greatly.
https://www.thespruce.com/why-clothes-shrink-in-the-laundry-2146152
If the garment was cheap it is doubtful the fabric would have been pre shrunk and may even have been stretched considerably in manufacture.
Yes. The default is pretty high.
As to whether it matters. I'm tempted to get her to send it back. It would have been cheap, but it strikes me as such BS that a t-shirt would shrink like that in a normal wash.