Part 9/11:
The discussion also examined how media outlets like CNBC and The Wall Street Journal frame inflation data. Sean noted that headlines might be biased or cherry-pick data to support particular narratives. For example, when inflation numbers are better, outlets emphasize the core inflation rate, while worse figures are highlighted as headline inflation.
David Bonson added that the actual data shows a more balanced picture: inflation, when accurately measured—particularly through the Personal Consumption Expenditures (PCE) index used by the Federal Reserve—is below 2%. He criticized the Consumer Price Index (CPI) for overestimating housing costs due to the lagging nature of owner's equivalent rent, suggesting that the true ground-level inflation rate is lower than headline figures indicate.