Cage size is not an issue. This is an urban legend, as in fish.Some species grow larger in captivity, Deroplatys and other food limited ones, for instance. My self-bred D. trigonodera were often larger than the ones I caught in Borneo. Others were of similar size. Usually, the first mantids to become adult also grow larger than subsequent ones.
On the other hand, stock established for a long time and fed not as diverse as WC representatives tend to get smaller after a while. Examples are Gongylus, Phyllocrania and Creobroter. A genetic factor may play a role, but this is not inbreeding but a particular form of selection.