Hello, my friends. And welcome to another episode of Passive Real Estate Investing. I'm your host, Marco Santarelli. And today we have a very special episode because we're gonna talk about something that impacts everybody, not just those listening to this show, but everybody in the country and actually around the world. So my guest today really sharp guy, Jeff Deist, from the Mesis Institute, we're gonna talk a little bit about the state of the economy and inflation, and these are things that impact you, whether you know it or not, and I'm sure you do, cuz we have a very well educated, smart audience on this show, even though we are listened to in over 100 countries, most of our listeners are here in the United States and this is going to hit close to home. So inflation has been, you know, in the headline news for a very, very long time.

And it's an important subject. In fact, the timing of today's interview coincided with the latest release of the annual inflation rate, which came out this morning at a whopping 7.1%, which is what was expected, but it's such a crazy high number relative to what we've been seeing in years past decades, past actually four decades to be more specific. And that number that 7.1% keep in mind. That's the headline rate that's what's talked about in the media and among various talking heads, but when you really look at the real rate of inflation, not the nominal rate of inflation, you know, by number that real rate of inflation is actually higher. And so the annual inflation rate that was released this morning in the us has accelerated to 7.1% over the last month of 2021. We're here in January and that is a sharp for re new high since June of 1982, it is in line with the market expectations.

And you know, we're comparing that to a whopping 6.8% that came out in November. So it's still increasing. Now energy was the biggest contributor to that gain. I'm sure that's not a surprise to many people, but really accelerated across the board housing or shelter rose from 3.8% to 4.1% food. Now I'm talking more specifically food at home, went from 6.4% year over year in November to 6.5. So a small increase, but still it's over a 6% increase year over year vehicles, both new and used moved a whopping 11.8% for new vehicles and 37% for used cars and trucks. Think about that. Good luck finding a vehicle that is affordable. I mean, if you're sitting on a bunch of cars and you wanna sell now was a good time. Clothing went up almost 6% medical care services went up about two and a half percent and that's not talking about healthcare here.

We're talking about medical care services. Inflation really spiked last year in 2021 for many reasons. I mean, we're talking about the pandemic induced supply constraints. However we real, those might be, I mean, there's definitely supply constraints, but how much of it was pandemic induced is another question because there was certainly increased demand. There was a lot of people buying. So demand certainly increased. There are soaring energy costs, labor shortages, which I'm still trying to wrap my head around. I think there's a lot of people who have just left the labor market and it chosen to stay unemployed or at home for whatever reason, but inflationary pressures like these are expected to last well throughout the year. And certainly in the years to come, I don't think is short term. And we're gonna talk about that in today's interview with Jeff Deist here, because he has some thoughts and opinion on, on that as well it's anybody's guess, but just based on the credit based system that we work and live in and where we have been coming from and where we're headed, certainly points in the direction of more inflationary pressure and increased inflation.

So I hope you enjoy today's. I do plan on making another one or two with potentially some other guests or maybe just myself about inflation and the impact it has. So let us go on to our interview with Jeff Deist an...