According to the Bureau of Labor Statistics consumer price index, the dollar experienced an average inflation rate of 2.60% per year. Prices in 2018 are 1139.4% higher than prices in 1920.
In other words, $5 in the year 1920 is equivalent in purchasing power to $61.97 in 2018, a difference of $56.97 over 98 years.
|Cumulative price change||1139.40%|
|Average inflation rate||2.60%|
|Price difference ($5 base)||$56.97|
|CPI in 1920||20|
|CPI in 2018||247.867|
Politics and news often influence economic performance. Here's what was happening at the time:
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: “$5 in 1920 → 2018 | Inflation Calculator.” FinanceRef Inflation Calculator, Alioth Finance, 15 Feb. 2018, http://www.in2013dollars.com/1920-dollars?amount=5.