Hidden Inflation: Why Americans Feel Poor

Doug McIntyre and David Callaway discuss the phenomenon of hidden inflation, where people experience rising living costs that aren’t fully reflected in official Consumer Price Index (CPI) figures. Despite the CPI showing only a 3% increase, individuals feel economically strained due to higher spot prices affecting various aspects of their lives. This discrepancy leads to a decrease in discretionary income and creates an economic problem not captured by traditional economic indicators. The discussion highlights how official economic statistics can mask real-world inflationary pressures, leaving people feeling financially squeezed even when broader economic metrics appear positive.