Things may cost a little more, but there is no inflation. Dual income families are struggling to keep up, but there is no inflation. In Canada, Statscan tells us that inflation is contained and in the U.S. the Bureau of Labor Statistics says that inflation is under control. The numbers don't lie!
We haven't seen a negative savings rate since the Great Depression and the current level of personal debt is unprecendented, but there is no inflation.
Statistics regarding inflation can always be manipulated but if you ask the "man on the street" if general prices are:
1) about the same as they were a few years ago
2) a little bit higher
3) a lot higher,
you'd get a true gauge of inflation.
For now, inflation remains the elephant in the room that nobody wants to talk about.
