The Eagles could not build on their back-to-back victories over Wolverhampton Wanderers and Newcastle United as they succumbed to a fantastic display from Marcelo Bielsa’s men at the Elland Road.
The hosts were off to a flyer when a Jack Harrison’s deflected effort gave them the lead in the opening three minutes before in-form Patrick Bamford sealed all three points seven minutes after the interval with his 100th career goal.
Crystal Palace have failed to score in seven away games in the Premier League this season, the joint-most of any side, level with Burnley.
Speaking to the media after the game, Hodgson admitted that his side were brushed off by a better team.
"We started both halves badly in terms of the goals we conceded. Both were pretty poor technical errors,” the Englishman told Sky Sports.
“You can't afford to go 1-0 down after three or four minutes and then 2-0 down after 50 minutes and come away with a result unless you play outstanding football but we didn't play outstanding football unfortunately.
"The bottom line for me is we didn't pass the ball anywhere near well enough and we have to accept that we lost to the better team.
"We were not able to pressurised them like they pressurised us. We are a passing team and when we don't pass the ball well we fall below our standards.”