Inflation Calculator
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U.S. Inflation Rate, $7,200,000 in 1867 to 2018
According to the Bureau of Labor Statistics consumer price index, prices in 2018 are 1,596.67% higher than average prices throughout 1867. The dollar experienced an average inflation rate of 1.89% per year during this period, meaning the real value of a dollar decreased.
In other words, $7,200,000 in 1867 is equivalent in purchasing power to about $122,160,081.08 in 2018, a difference of $114,960,081.08 over 151 years.
The 1867 inflation rate was -6.92%. The inflation rate in 2018 was 2.44%. The 2018 inflation rate is higher compared to the average inflation rate of 2.01% per year between 2018 and 2019.
Contents
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| Cumulative price change | 1,596.67% |
| Average inflation rate | 1.89% |
| Converted amount ($7,200,000 base) | $122,160,081.08 |
| Price difference ($7,200,000 base) | $114,960,081.08 |
| CPI in 1867 | 14.800 |
| CPI in 2018 | 251.107 |
| Inflation in 1867 | -6.92% |
| Inflation in 2018 | 2.44% |
Buying power of $7,200,000 in 1867
This chart shows calculation of buying power equivalence, often referred to as "the value of a dollar" over time for $7,200,000 in 1867 (price index tracking began in 1635).
According to the Bureau of Labor Statistics, each of these USD amounts below is equal in terms of what it could buy at the time:
Inflation by Country
Inflation can also vary widely by country. For comparison, in the UK £7,200,000.00 in 1867 would be equivalent to £785,294,269.31 in 2018, an absolute change of £778,094,269.31 and a cumulative change of 10,806.86%.
Compare these numbers to the US's overall absolute change of $114,960,081.08 and total percent change of 1,596.67%.
Inflation by Spending Category
CPI is the weighted combination of many categories of spending that are tracked by the government. This chart shows the average rate of inflation for select CPI categories between 1867 and 2018.
Compare these values to the overall average of 1.89% per year:
| Category | Avg Inflation (%) | Total Inflation (%) | $7,200,000 in 1867 → 2018 |
|---|---|---|---|
| Food | 3.13 | 10,468.67 | 760,943,893.49 |
| Shelter | 4.11 | 43,485.84 | 3,138,180,753.28 |
| Energy | 3.89 | 31,577.76 | 2,280,798,805.88 |
| Apparel | 2.05 | 2,046.17 | 154,524,123.67 |
| New vehicles | 1.05 | 382.58 | 34,745,773.98 |
| Used cars and trucks | 0.61 | 150.86 | 18,061,605.19 |
| Transportation services | 4.06 | 40,823.87 | 2,946,518,803.16 |
| Medical care services | 5.11 | 185,315.82 | 13,349,938,776.87 |
| Medical care commodities | 3.04 | 9,135.51 | 664,956,544.78 |
It's important to note that not all categories may be tracked since 1867. This table and visualization use the earliest available data for each category.
How to Calculate Inflation Rate for $7,200,000, 1867 to 2018
This inflation calculator uses the following inflation rate formula:
CPI in 2018CPI in 1867
×
1867 USD value
=
2018 USD value
Then plug in historical CPI values. The U.S. CPI was 14.8 in the year 1867 and 251.10683333333 in 2018:
251.1068333333314.8
×
$7,200,000
=
$122,160,081.08
$7,200,000 in 1867 has the same "purchasing power" or "buying power" as $122,160,081.08 in 2018.
To get the total inflation rate for the 151 years between 1867 and 2018, we use the following formula:
CPI in 2018 - CPI in 1867CPI in 1867
×
100
=
Cumulative inflation rate (151 years)
Plugging in the values to this equation, we get:
251.10683333333 - 14.814.8
×
100
=
1,597%
News headlines from 1867
Politics and news often influence economic performance. Here's what was happening at the time:
- The House of Commons passes the British North America Act, which later serves as Canada's constitution.
- Joseph Lister, publishes an article in The Lancet, outlining the discovery of antiseptic surgery.
- Russia sells Alaska to the United States for total of $7,200,000, or 2 cents/acre.
- Karl Marx Publishes ‘Das Kapital’.
Data Source & Citation
Raw data for these calculations comes from the Bureau of Labor Statistics' Consumer Price Index (CPI), established in 1913. Inflation data from 1665 to 1912 is sourced from a historical study conducted by political science professor Robert Sahr at Oregon State University.
You may use the following MLA citation for this page: “$7,200,000 in 1867 → 2018 | Inflation Calculator.” U.S. Official Inflation Data, Alioth Finance, 13 Jul. 2019, https://www.officialdata.org/1867-dollars-in-2018?amount=7200000.
Special thanks to QuickChart for providing downloadable chart images.
in2013dollars.com is a reference website maintained by the Official Data Foundation.
| Cumulative price change | 1,596.67% |
| Average inflation rate | 1.89% |
| Converted amount ($7,200,000 base) | $122,160,081.08 |
| Price difference ($7,200,000 base) | $114,960,081.08 |
| CPI in 1867 | 14.800 |
| CPI in 2018 | 251.107 |
| Inflation in 1867 | -6.92% |
| Inflation in 2018 | 2.44% |
