Inflation is non-uniform throughout the economy. Personally, in Silicon Valley, I see ample evidence of inflation - my rent on the same 1BR went up from $1410 to $2250 over 4 years. Anyone trying to put a kid through college has noticed a similar effect. The stock market is up about 100%, so if you're looking to buy stocks with your money or save for retirement, prices are also inflating. Fortunately, my salary has been rising similarly, but people stuck on fixed incomes or jobs without much negotiating leverage in this area are very much dealing with inflation.