Judd Cramer, a Harvard economist and co-author of a paper on inflation metrics, challenges common economic perceptions. He explains how traditional inflation measures overlook the staggering impact of soaring interest rates on everyday costs. As housing prices rise, the true cost of living, especially in terms of mortgages and loans, is often misrepresented. Cramer argues that this disconnect fuels economic anxiety and questions the validity of current economic indicators, offering a fresh perspective on what really drives consumer sentiment.

Chief economist Mark Zandi and economist Judd Cramer discuss the disconnect between economic headlines and individual financial struggles, highlighting wage stagnation, inflation, and high interest rates. They explore the discrepancies in economic data versus public perception, the impact of inflation on wages and housing costs, and the need for fair wages and worker unity in addressing wealth inequality.