[music playing]
CARL AZUZ: Thanks for watching "CNN 10" on this Veterans
Day, November 11th.
We'll be discussing that a little more in a few minutes.
My name is Carl Azuz.
And you know what's up?
Inflation, and not in a good way.
Simply put, inflation is a rise in prices of the things we buy.
And it may mean we can't buy as many of those things.
America's central bank, the Federal Reserve,
generally believes inflation's OK
as long as its rate of increase is around 2% or lower.
So if you spend $100 at the grocery store a year ago.
And this year those same items were $102 the Fed
probably wouldn't be worried.
What is worrying to officials, economists,
and everyday consumers is that over the past year inflation
has gone way beyond that 2%.
A brand new report from the US Labor Department
says between last October and this October prices
jumped more than 6%, their biggest
increase in more than 30 years.
This is based on the consumer price index, the average change
in prices that people in a city might
see on the goods and services they regularly buy.
In the latest government report the increase has
been noticeable month to month.
Between September and October the index
rose 0.9% when economists had expected it would rise 0.6%.
Experts say there are several reasons why this is happening.
Demand for goods is high as the US
economy continues to climb out of the effects
of the COVID pandemic.
There are shortages in a number of materials
used to make the things we buy.
There are problems in the global supply
of goods which, in many senses, is
like a sink with a slow drain.
And the costs of energy have been skyrocketing growing
30% over the past 12 months.
MATT EGAN: This is a historic inflation report
and is landing just before the holidays.
Now, everyday Americans are getting
squeezed by higher prices.
And unfortunately.
The numbers are all moving in the wrong direction.
Consumer prices were up by 6.2% in October from the year
before.
Not only is that an acceleration from the elevated levels
during the summer, it is the highest gain in one
month since November of 1990.
Now, month over month prices are up by 0.9%.
That is more than double the rate in September.
And no, this is not just about gas prices.
If you strip out food and energy core prices were up by the most
since August of 1991.
Now let me walk you through some of the individual items,
particularly electronics, that have gotten more expensive due
to surging demand, supply chain issues,
and computer chip shortages.
Look at computers and smart home assistants up more than 8%.
Televisions up more than 10%.
Washers and dryers up nearly 15%.
Now, some electronics have actually gotten cheaper.
Smartphones, in particular, they're
20% cheaper than a year ago.
And I should emphasize that these are national prices,
not necessarily what you would see
in individual stores like the one
I'm in right now in Best Buy.
Best Buy says that for its perspective inventories
actually look pretty good.
That's because they've been working with partners.
They've actually been chartering their own ships
to bring stuff from overseas.
But I have been talking to some shoppers in the last few days
and they do sound kind of frustrated about higher prices.
Here's what one of them told me.
RAMI SINGH: You know, I'm a bit frustrated that prices are up.
I think with so much competition you
would expect them to be lower.
So it's quite frustrating with all the money being funneled
into free money into the economy just causing
inflation and everything.
So with that comes higher pay raises
for my employees and higher operating business expenses
for my business.
So it is quite frustrating.
But it is what it is.
MATT EGAN: For months we had heard from officials
in the White House, the Federal Reserve, and experts
on Wall Street that inflation was just
going to be a temporary thing.
But there's a growing sense that inflation is not going away
any time soon, that prices are probably not going
to fall back to Earth just yet.
[music playing]
CARL AZUZ: The first ceremony at America's
Tomb of the Unknown Soldier took place exactly 100 years ago.
It was held in honor of a soldier who'd fought in World
War I. And the event was attended by President Warren G.
Harding and more than 100,000 people
according to the United Press International News Agency.
But the public hasn't been allowed to get this close
to the tomb for 96 years.
As part of its Centennial Commemoration
this week, Arlington National Cemetery
encouraged visitors to lay a flower at the Memorial site
and to reflect on its meaning to all unknown American service
members who gave their lives for their country.
When the tomb was completed November 11th
was known as Armistice Day, named
for the event that brought an end to the fighting
in the First World War.
In 1954 the name was formally changed to Veterans Day.
And now, the holiday honors everyone who's served
in America's armed forces.
Parades, ceremonies, and a presidential wreath
laying at the Tomb of the Unknown Soldier
are all part of Veterans Day.
10 second trivia.
Which of these US companies was founded first?
US Steel, General Electric, JC Penney, or Safeway?
In 1889 Edison General Electric, the namesake of Thomas Edison
was formed.
Edison founded it by bringing together
his electricity companies.
And over the decades General Electric
grew into a massive business conglomerate
dominating aviation, TV, appliances,
finances, health care.
But 20 years after reaching its peak value
of more than $500 billion GE is worth $119 billion today.
Huge amounts of debt, sales of several businesses,
and some missteps have left GE a shadow of its former self.
And it just announced plans to split
into three separate companies.
GE'S leader says this will give each one greater focus, more
flexibility, and better value for customers,
investors, and employees.
- General Electric, GE.
- We bring things to light.
- You probably know the company best
for its most famous invention, the incandescent light bulb.
Since its founding in 1889 the company
has invented thousands of products
and changed American life in the process.
Just think about all the items in your kitchen
that GE had a hand in.
GE rolled out the first electric toaster in 1905.
They sold the first widely used refrigerator.
They repurposed a technology used in World War II
to invent the microwave.
And it's not just appliances.
They also were responsible for the first American jet
engine, the X-ray machine, even the lab grown diamond.
In its nearly 130 years in business
GE has reinvented transportation,
medical technology, and the domestic realm.
But in recent years it's hit a snag.
- The company has struggled since the 2008
financial crisis.
It's been selling off assets often for a fraction
of what it paid for them.
Now, the giant is breaking up into three
separate companies divided up by aviation,
health care, and energy.
GE says the split will maximize its value.
- General Electric marches on.
- But it also means lights out for the powerful GE
conglomerate we once knew.
[music playing]
CARL AZUZ: Why would someone want to make
a skateboard out of pizza?
Simple.
- I skateboard for, like, 18 years now.
So I was like, pizza, skateboard, pizza-skateboard.
CARL AZUZ: It starts with a real slice of pizza.
It's covered with a plastic resin and allowed to harden.
Add polish, trucks, and wheels and you're
ready to shred like mozzarella.
Don't know how it rides but it costs
$800 if you want him to bake you, then make you your own.
Now, some folks are going to be blunt and say it looks fakey.
But like pizzas, all the boards are boneless.
And if you add anchovies, they come with a built-in stalefish.
So slap on your peppero-knee pads
and drop back into playing with your food
because even if you're a complete poser
and you face plant into your deck
while trying to grind at least you'll have something to eat.
I'm Carl Azuz.
And today's show goes out to our veterans,
those who have served or are serving,
and those related to America's men and women in uniform.
Thank you for your service to our country.