Housing costs are not included in the CPI (though I gather rents are), and things like college costs are also not represented. So when you see wages generally b

Housing costs are not included in the CPI (though I gather rents are), and things like college costs are also not represented. So when you see wages generally below or at best at CPI, it seems like the middle class is generally getting squeezed. So when HR departments use CPI as an input for planning of wage increases, that becomes a systemic squeeze. (Esp if they collectively think - we'll we had better keep raises at or below CPI...). Edit: on more searching, college is included in the CPI. https://www.bls.gov/cpi/factsheets/college-tuition.htm https://www.bls.gov/cpi/factsheets/college-tuition.htm