Info · Reference
Inflation isn't one number
The headline inflation rate is an average across thousands of prices — and it hides wildly different stories. Since the late 1970s, college and healthcare have raced ahead of the average while clothing and toys got cheaper. Your personal inflation is your own basket, which is why outpacing it is the real job of investing.
Latest data 2026 U.S. Bureau of Labor Statistics via FRED (Federal Reserve Bank of St. Louis). Each figure is the change in the Consumer Price Index for that category. Latest 2026. · source & method
- 2.7% headline CPI, 2025→2026 — the latest year-over-year rise
- 3.5% average annual inflation since 1947 — the long-run backdrop
- 5.1× higher prices overall since 1978: what cost $10 then costs about $51 now
How each category moved since 1978
Cumulative price change for everyday spending categories, 1978 to 2026. The headline "all items" figure is highlighted; notice how far the extremes diverge from it.
| Category | Change since 1978 | Per year | Relative move |
|---|---|---|---|
| College tuition | 1417% | 5.8% | |
| Medical care | 858% | 4.8% | |
| Shelter | 604% | 4.1% | |
| Energy | 491% | 3.8% | |
| All items Headline | 407% | 3.4% | |
| Food & drink | 377% | 3.3% | |
| New cars | 136% | 1.8% | |
| Clothing | 67% | 1.1% | |
| Toys & games | −63% | −2.0% |
Labor-heavy services (tuition, medical care) climb fastest; manufactured goods (clothing, toys, TVs) have often fallen in price. Two households can feel completely different inflation depending on what they buy.
Sources & method
Consumer Price Index by category from the BLS (via FRED). Refresh with npm run data:inflation.
Data
- Consumer Price Index (CPI) series, U.S. Bureau of Labor Statistics, via FRED. Annual price levels by spending category.
Educational use only, not financial advice. Every figure traces back to the sources above or to the inputs you set — the full method and the source code are public.