$1,700,000 in 1960 → $13,784,185.81 in 2016

👉 You may be interested in $1,700,000 in 1960 → 2018

U.S. Inflation Rate, $1,700,000 in 1960 to 2016

According to the Bureau of Labor Statistics consumer price index, prices in 2016 are 710.83% higher than prices in 1960. The dollar experienced an average inflation rate of 3.81% per year during this period.

In other words, $1,700,000 in 1960 is equivalent in purchasing power to $13,784,185.81 in 2016, a difference of $12,084,185.81 over 56 years.

The 1960 inflation rate was 1.72%. The inflation rate in 2016 was 1.26%. The 2016 inflation rate is lower compared to the average inflation rate of 2.48% per year between 2016 and 2018.


Inflation from 1960 to 2016
Cumulative price change 710.83%
Average inflation rate 3.81%
Converted amount ($1,700,000 base) $13,784,185.81
Price difference ($1,700,000 base) $12,084,185.81
CPI in 1960 29.600
CPI in 2016 240.007
Inflation in 1960 1.72%
Inflation in 2016 1.26%


U.S. Inflation since 1913
Annual Rate, U.S. Bureau of Labor Statistics CPI

Buying power of $1,700,000 since 1960

This chart shows calculations of buying power equivalence over time for $1,700,000 in 1960 (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:

Year USD Value Inflation Rate
1960 $1,700,000.00 1.72%
1961 $1,717,229.73 1.01%
1962 $1,734,459.46 1.00%
1963 $1,757,432.43 1.32%
1964 $1,780,405.41 1.31%
1965 $1,809,121.62 1.61%
1966 $1,860,810.81 2.86%
1967 $1,918,243.24 3.09%
1968 $1,998,648.65 4.19%
1969 $2,107,770.27 5.46%
1970 $2,228,378.38 5.72%
1971 $2,326,013.51 4.38%
1972 $2,400,675.68 3.21%
1973 $2,550,000.00 6.22%
1974 $2,831,418.92 11.04%
1975 $3,089,864.86 9.13%
1976 $3,267,905.41 5.76%
1977 $3,480,405.41 6.50%
1978 $3,744,594.59 7.59%
1979 $4,169,594.59 11.35%
1980 $4,732,432.43 13.50%
1981 $5,220,608.11 10.32%
1982 $5,542,229.73 6.16%
1983 $5,720,270.27 3.21%
1984 $5,967,229.73 4.32%
1985 $6,179,729.73 3.56%
1986 $6,294,594.59 1.86%
1987 $6,524,324.32 3.65%
1988 $6,794,256.76 4.14%
1989 $7,121,621.62 4.82%
1990 $7,506,418.92 5.40%
1991 $7,822,297.30 4.21%
1992 $8,057,770.27 3.01%
1993 $8,298,986.49 2.99%
1994 $8,511,486.49 2.56%
1995 $8,752,702.70 2.83%
1996 $9,011,148.65 2.95%
1997 $9,217,905.41 2.29%
1998 $9,361,486.49 1.56%
1999 $9,568,243.24 2.21%
2000 $9,889,864.86 3.36%
2001 $10,171,283.78 2.85%
2002 $10,332,094.59 1.58%
2003 $10,567,567.57 2.28%
2004 $10,848,986.49 2.66%
2005 $11,216,554.05 3.39%
2006 $11,578,378.38 3.23%
2007 $11,908,155.41 2.85%
2008 $12,365,375.00 3.84%
2009 $12,321,381.76 -0.36%
2010 $12,523,486.49 1.64%
2011 $12,918,793.92 3.16%
2012 $13,186,141.89 2.07%
2013 $13,379,287.16 1.46%
2014 $13,596,324.32 1.62%
2015 $13,612,462.84 0.12%
2016 $13,784,185.81 1.26%
2017 $14,077,837.84 2.13%
2018 $14,475,155.41 2.82%*
* Compared to previous annual rate. Not final. See inflation summary for latest 12-month trailing value.

Inflation by City

Inflation can vary widely by city, even within the United States. Here's how some cities fared in 1960 to 2016 (figures shown are purchasing power equivalents of $1,700,000):

  • San Francisco, California: 4.07% average rate, $1,700,000 → $15,859,887.20, cumulative change of 832.93%
  • Seattle, Washington: 3.97% average rate, $1,700,000 → $15,048,480.74, cumulative change of 785.20%
  • Boston, Massachusetts: 3.95% average rate, $1,700,000 → $14,898,296.30, cumulative change of 776.37%
  • New York: 3.94% average rate, $1,700,000 → $14,829,269.39, cumulative change of 772.31%
  • Philadelphia, Pennsylvania: 3.79% average rate, $1,700,000 → $13,629,863.49, cumulative change of 701.76%
  • Houston, Texas: 3.73% average rate, $1,700,000 → $13,211,550.76, cumulative change of 677.15%
  • Atlanta, Georgia: 3.69% average rate, $1,700,000 → $12,937,335.02, cumulative change of 661.02%
  • Chicago, Illinois: 3.68% average rate, $1,700,000 → $12,836,870.75, cumulative change of 655.11%
  • Detroit, Michigan: 3.66% average rate, $1,700,000 → $12,732,135.19, cumulative change of 648.95%

San Francisco, California experienced the highest rate of inflation during the 56 years between 1960 and 2016 (4.07%).

Detroit, Michigan experienced the lowest rate of inflation during the 56 years between 1960 and 2016 (3.66%).

Note that some locations showing 0% inflation may have not yet reported latest data.


Inflation by Country

Inflation can also vary widely by country. For comparison, in the UK £1,700,000.00 in 1960 would be equivalent to £35,916,048.88 in 2016, an absolute change of £34,216,048.88 and a cumulative change of 2,012.71%.

In Canada, CA$1,700,000.00 in 1960 would be equivalent to CA$13,903,184.71 in 2016, an absolute change of CA$12,203,184.71 and a cumulative change of 717.83%.

Compare these numbers to the US's overall absolute change of $12,084,185.81 and total percent change of 710.83%.


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 1960 and 2016.

Compare these values to the overall average of 3.81% per year:

Category Avg Inflation (%) Total Inflation (%) $1,700,000 in 1960 → 2016
Food 3.84 726.01 14,042,235.26
Shelter 4.45 1,042.38 19,420,375.00
Energy 3.88 744.36 14,354,148.53
Apparel 1.83 175.81 4,688,775.12
New vehicles 1.14 88.32 3,201,460.66
Used cars and trucks 0.76 53.08 2,602,322.05
Transportation services 3.34 527.88 10,673,966.98
Medical care services 5.95 2,438.26 43,150,447.91
Medical care commodities 4.38 1,002.71 18,746,100.78

It's important to note that not all categories may be tracked since 1960. This table and visualization use the earliest available data for each category.



How to Calculate Inflation Rate for $1,700,000, 1960 to 2016

This inflation calculator uses the following inflation rate formula:

CPI in 2016CPI in 1960
×
1960 USD value
=
2016 USD value

Then plug in historical CPI values. The U.S. CPI was 29.6 in the year 1960 and 240.007 in 2016:

240.00729.6
×
$1,700,000
=
$13,784,185.81

$1,700,000 in 1960 has the same "purchasing power" or "buying power" as $13,784,185.81 in 2016.

To get the total inflation rate for the 56 years between 1960 and 2016, we use the following formula:

CPI in 2016 - CPI in 1960CPI in 1960
×
100
=
Cumulative inflation rate (56 years)

Plugging in the values to this equation, we get:

240.007 - 29.629.6
×
100
=
711%

Alternate Measurements of Inflation

The above data describe the CPI for all items. Also of note is the Core CPI, which measures inflation for all items except for the more volatile categories of food and energy. Core inflation averaged 3.80% per year between 1960 and 2016 (vs all-CPI inflation of 3.81%), for an inflation total of 708.07%.

When using the core inflation measurement, $1,700,000 in 1960 is equivalent in buying power to $13,737,257.55 in 2016, a difference of $12,037,257.55. Recall that for All Items, the converted amount is $13,784,185.81 with a difference of $12,084,185.81.

In 1960, core inflation was 1.55%.


Comparison to S&P 500 Index

The average inflation rate of 3.81% has a compounding effect between 1960 and 2016. As noted above, this yearly inflation rate compounds to produce an overall price difference of 710.83% over 56 years.

To help put this inflation into perspective, if we had invested $1,700,000 in the S&P 500 index in 1960, our investment would be nominally worth approximately $360,967,408.10 in 2016. This is a return on investment of 21,133.38%, with an absolute return of $359,267,408.10.

These numbers are not inflation adjusted, so they are considered nominal. In order to evaluate the real return on our investment, we must calculate the return with inflation taken into account.

The compounding effect of inflation would account for 87.67% of returns ($314,959,053.43) during this period. This means the inflation-adjusted real return of our $1,700,000 investment is $44,308,354.67.

Investment in S&P 500 Index, 1960-2016
Original Amount Final Amount Change
Nominal $1,700,000 $360,967,408.10 21,133.38%
Real
Inflation Adjusted
$1,700,000 $44,308,354.67 2,606.37%


News headlines from 1960

Politics and news often influence economic performance. Here's what was happening at the time:

  • Johnny Cash plays his first concert in a prison.
  • The Bank of France issues new franc currency, worth 100 times the value of old francs.
  • France grants independence to Cameroon (previously French Cameroon) after years of fighting.
  • Guided missiles are launched for the first time from a nuclear powered submarine

Data Source & Citation

Raw data for these calculations comes from the Bureau of Labor Statistics' (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: “$1,700,000 in 1960 → 2016 | Inflation Calculator.” U.S. Official Inflation Data, Alioth Finance, 15 Dec. 2018, https://www.officialdata.org/1960-dollars-in-2016?amount=1700000.

in2013dollars.com is a reference website maintained by the Official Data Foundation.


© 2018 Official Data Foundation / Alioth LLC. Contact