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Larry Summers and others published a paper with an interesting theory on why consumers believe inflation is higher than the government’s CPI numbers. Since 1983, it has ignored interest rates even though they affect car and mortgage payments.

Using a pre-1983 CPI formula would have inflation around 18% versus the official 7.1% in November 2022. It’s a plausible theory that explains why people’s sentiment doesn’t match inflation stats.

https://www.forbes.com/sites/theapothecary/2024/03/23/summers-inflation-reached-18-in-2022-using-the-governments-previous-formula/?sh=1edc93e62092