How Much Was Money Worth In 1970
Value of $1 from 1970 to 2022
$1 in 1970 is equivalent in purchasing power to about $7.41 today, an increase of $6.41 over 52 years. The dollar had an average inflation rate of 3.93% per twelvemonth between 1970 and today, producing a cumulative price increase of 640.99%.
This ways that today's prices are vii.41 times higher than boilerplate prices since 1970, according to the Agency of Labor Statistics consumer price index. A dollar today only buys 13.495% of what it could buy back and then.
The inflation charge per unit in 1970 was 5.72%. The current inflation charge per unit compared to final year is at present 8.54%. If this number holds, $1 today will be equivalent in buying power to $1.09 next year. The current inflation rate folio gives more detail on the latest inflation rates.
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| Cumulative price modify | 640.99% |
| Boilerplate inflation charge per unit | 3.93% |
| Converted amount ($ane base) | $7.41 |
| Price difference ($ane base) | $6.41 |
| CPI in 1970 | 38.800 |
| CPI in 2022 | 287.504 |
| Aggrandizement in 1970 | 5.72% |
| Inflation in 2022 | 8.54% |
| $1 in 1970 | $seven.41 in 2022 |
USD aggrandizement since 1970
Annual Rate, the Agency of Labor Statistics CPI
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Buying power of $ane in 1970
This chart shows a calculation of buying power equivalence for $i in 1970 (price alphabetize tracking began in 1635).
For instance, if y'all started with $1, you would need to end with $7.41 in order to "adjust" for inflation (sometimes refered to as "beating inflation").
When $i is equivalent to $7.41 over time, that means that the "existent value" of a single U.S. dollar decreases over time. In other words, a dollar will pay for fewer items at the store.
This event explains how inflation erodes the value of a dollar over time. By calculating the value in 1970 dollars, the chart beneath shows how $ane is worth less over 52 years.
According to the Bureau of Labor Statistics, each of these USD amounts beneath is equal in terms of what it could buy at the time:
This conversion table shows diverse other 1970 amounts in today's dollars, based on the 640.99% change in prices:
| Initial value | Equivalent value |
|---|---|
| $1 dollar in 1970 | $vii.41 dollars today |
| $five dollars in 1970 | $37.05 dollars today |
| $x dollars in 1970 | $74.10 dollars today |
| $l dollars in 1970 | $370.49 dollars today |
| $100 dollars in 1970 | $740.99 dollars today |
| $500 dollars in 1970 | $three,704.95 dollars today |
| $i,000 dollars in 1970 | $7,409.xc dollars today |
| $5,000 dollars in 1970 | $37,049.48 dollars today |
| $10,000 dollars in 1970 | $74,098.97 dollars today |
| $50,000 dollars in 1970 | $370,494.85 dollars today |
| $100,000 dollars in 1970 | $740,989.69 dollars today |
| $500,000 dollars in 1970 | $iii,704,948.45 dollars today |
| $i,000,000 dollars in 1970 | $7,409,896.91 dollars today |
Inflation past City
Inflation can vary widely past urban center, even within the United States. Here's how some cities fared in 1970 to 2022 (figures shown are purchasing power equivalents of $one):
- San Francisco, California: 4.xix% boilerplate charge per unit, $ane → $8.47, cumulative change of 747.06%
- Seattle, Washington: 4.14% average rate, $1 → $8.25, cumulative change of 724.68%
- Boston, Massachusetts: 4.00% average rate, $1 → $seven.67, cumulative alter of 667.27%
- New York: 3.91% average rate, $1 → $7.34, cumulative change of 634.17%
- Atlanta, Georgia: 3.87% average rate, $1 → $seven.xix, cumulative modify of 619.33%
- Dallas-Fort Worth, Texas: three.83% average rate, $1 → $7.06, cumulative change of 605.56%
- Philadelphia, Pennsylvania: 3.77% average rate, $i → $six.85, cumulative change of 585.08%
- Houston, Texas: iii.77% average charge per unit, $1 → $vi.84, cumulative change of 583.77%
- Chicago, Illinois: 3.76% average rate, $i → $6.82, cumulative change of 581.78%
- Detroit, Michigan: three.67% average rate, $1 → $6.51, cumulative change of 551.13%
San Francisco, California experienced the highest rate of aggrandizement during the 52 years between 1970 and 2022 (4.19%).
Detroit, Michigan experienced the lowest rate of inflation during the 52 years betwixt 1970 and 2022 (3.67%).
Note that some locations showing 0% aggrandizement may accept not still reported latest information.
Inflation by Country
Inflation can likewise vary widely past country. For comparison, in the United kingdom of great britain and northern ireland £ane.00 in 1970 would be equivalent to £16.48 in 2022, an absolute change of £15.48 and a cumulative change of 1,548.26%.
In Canada, CA$1.00 in 1970 would be equivalent to CA$7.08 in 2022, an absolute change of CA$half dozen.08 and a cumulative change of 608.xx%.
Compare these numbers to the United states of america's overall accented change of $half dozen.41 and total percent change of 640.99%.
Inflation by Spending Category
CPI is the weighted combination of many categories of spending that are tracked by the regime. Breaking downwardly these categories helps explain the master drivers behind price changes.
This chart shows the average rate of inflation for select CPI categories between 1970 and 2022.
Compare these values to the overall average of 3.93% per year:
The graph below compares inflation in categories of goods over fourth dimension. Click on a category such equally "Food" to toggle it on or off:
For all these visualizations, it's important to notation that non all categories may accept been tracked since 1970. This table and charts employ the earliest available data for each category.
How to calculate inflation rate for $1 since 1970
Our calculations use the following inflation rate formula to summate the alter in value between 1970 and today:
CPI today CPI in 1970
×
1970 USD value
=
Today's value
Then plug in historical CPI values. The U.Southward. CPI was 38.8 in the yr 1970 and 287.504 in 2022:
$1 in 1970 has the same "purchasing power" or "ownership power" as $seven.41 in 2022.
To go the full aggrandizement rate for the 52 years betwixt 1970 and 2022, we utilize the post-obit formula:
CPI in 2022 - CPI in 1970 CPI in 1970
×
100
=
Cumulative inflation charge per unit (52 years)
Plugging in the values to this equation, we go:
287.504 - 38.viii 38.eight
×
100
=
641%
Alternate Measurements of Aggrandizement
The to a higher place data describe the CPI for all items. As well of note is the Core CPI, which measures inflation for all items except for the more than volatile categories of nutrient and energy. Core inflation averaged 3.83% per year betwixt 1970 and 2022 (vs all-CPI inflation of 3.93%), for an aggrandizement total of 604.96%.
When using the core aggrandizement measurement, $1 in 1970 is equivalent in buying power to $seven.05 in 2022, a difference of $six.05. Recall that for All Items, the converted amount is $7.41 with a difference of $6.41.
In 1970, core inflation was 6.25%.
Comparison to Due south&P 500 Index
The average inflation rate of three.93% has a compounding result betwixt 1970 and 2022. As noted above, this yearly aggrandizement rate compounds to produce an overall price difference of 640.99% over 52 years.
To help put this inflation into perspective, if we had invested $1 in the Due south&P 500 index in 1970, our investment would be nominally worth approximately $219.32 in 2022. This is a render on investment of 21,832.07%, with an absolute return of $218.32 on top of the original $1.
These numbers are not inflation adjusted, so they are considered nominal. In gild to evaluate the real return on our investment, we must summate the return with inflation taken into account.
The compounding event of inflation would account for 86.50% of returns ($189.72) during this flow. This means the inflation-adapted real return of our $1 investment is $28.60. You may as well want to account for majuscule gains tax, which would have your real return downwards to around $24 for most people.
| Original Corporeality | Final Amount | Change | |
|---|---|---|---|
| Nominal | $1 | $219.32 | 21,832.07% |
| Real Inflation Adapted | $i | $29.threescore | ii,859.83% |
Information displayed above may differ slightly from other S&P 500 calculators. Pocket-sized discrepancies can occur considering nosotros use the latest CPI data for inflation, annualized inflation numbers for previous years, and we compute S&P price and dividends from Jan of 1970 to latest available data for 2022 using average monthly close price.
For more details on the S&P 500 between 1970 and 2022, run into the stock market returns calculator.
Information source & citation
Raw data for these calculations comes from the Bureau of Labor Statistics' Consumer Cost Index (CPI), established in 1913. Inflation information from 1634 to 1912 is sourced from a historical study conducted by political science professor Robert Sahr at Oregon State University and from the American Antiquarian Society.
Y'all may employ the post-obit MLA citation for this page: "$one in 1970 → 2022 | Inflation Figurer." Official Inflation Data, Alioth Finance, 2 May. 2022, https://www.officialdata.org/us/inflation/1970?amount=one.
Special thank you to QuickChart for their nautical chart image API, which is used for chart downloads.
in2013dollars.com is a reference website maintained past the Official Data Foundation.
Source: https://www.in2013dollars.com/us/inflation/1970?amount=1#:~:text=Value%20of%20%241%20from%201970,cumulative%20price%20increase%20of%20640.99%25.
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