Story

Inflation Lab

How price pressure moves from CPI to wages to household budgets.

Inflation is not just one chart. This story follows how broad price pressure shows up in the categories people actually feel, how it interacts with wages, how the Fed responds, and how all of that lands in the household budget.

Estimated time6 min

DifficultyElementary / HS / University

Data throughApr 9, 2026

Progress1 / 6 chapters

What you'll learn

  • Understand what CPI is actually measuring
  • See why some prices hurt more than others
  • Understand the difference between wage growth and buying power
  • See how interest rates feed into borrowing costs
  • Connect macro data to real household pressure

Data & methodology

Primary source systems

BLSFRED

Last ingest: 4/10/2026, 8:29:31 AM

Open methodology

Chapters

Progressive cards with source-backed claims and reusable chapter-level metadata.

Chapter 01

The Signal

Lower inflation does not rewind prices; it means the pace of increase slows.

Metrics: headline_cpi_yoyData through: Feb 1, 2026
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Chapter 02

Not All Prices Misbehave the Same Way

Households do not consume the average basket equally, so lived inflation differs from the headline average.

Metrics: headline_vs_shelter_vs_foodData through: Feb 1, 2026
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Chapter 03

Can Paychecks Keep Up?

When inflation outpaces earnings, households feel poorer despite nominal raises.

Metrics: wage_vs_inflation_gapData through: Mar 1, 2026
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Chapter 04

The Fed Steps In

Policy transmission is real but delayed, uneven, and never instant.

Metrics: fed_funds_responseData through: Apr 8, 2026
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Chapter 05

Borrowing Gets Heavier

Rate-sensitive sectors transmit inflation policy directly into household cash flow.

Metrics: mortgage_vs_home_pricesData through: Apr 9, 2026
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Chapter 06

Where the Budget Actually Breaks

This is where macro inflation becomes lived budget stress.

Metrics: household_budget_sharesData through: Feb 1, 2026
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Grounded Takeaway

Inflation is not one number floating in the sky. It moves through categories, collides with wages, triggers policy responses, changes borrowing costs, and ends up in the household budget. That is why inflation can cool in the data while life still feels expensive.

Follow this story to track how the next CPI, jobs, and rate releases change the picture.