in Settings -> Reading -> “Blog pages show at most” is set to 9 and has not been changed since I installed Blanco theme. Pagination has not been an issue with all of the other product categories (such as https://contessaboutique.com/product-category/bracelets/). Only handbags does not page correctly.
I changed the “Blog pages show at most” to 6, and still saw pagination issue. Only 5 products on page 1, page 2 showed 3 products, page 3 no products.