Australian inflation rate in 1990: 7.48%

Australia Inflation Calculator

AU$

Inflation in 1990 and Its Effect on Dollar Value

Purchasing power decreased by 7.48% in 1990 compared to the previous year, 1989. On average, you would have to spend 7.48% more money in 1990 than in 1989 for the same item.

In other words, AU$100 in 1989 is equivalent in purchasing power to AU$107.48 in 1990.

The 1989 inflation rate was 7.43%. The inflation rate in 1990 was 7.48%. The 1990 inflation rate is higher compared to the average inflation rate of 2.40% per year between 1990 and 2018.

Inflation rate is calculated by change in the consumer price index (CPI). The CPI in 1990 was 57.5. It was 53.5 in the previous year, 1989. The difference in CPI between the years is used by the Bureau of Statistics to officially determine inflation.


Inflation from 1989 to 1990
Average inflation rate 7.48%
Converted amount (AU$100 base) AU$107.48
Price difference (AU$100 base) AU$7.48
CPI in 1989 53.5
CPI in 1990 57.5
Inflation in 1989 7.43%
Inflation in 1990 7.48%


AUD inflation chart from 1922 to 2017


How to Calculate Inflation Rate for AU$100, 1989 to 1990

This inflation calculator uses the following inflation rate formula:

CPI in 1990CPI in 1989
×
1989 AUD value
=
1990 AUD value

Then plug in historical CPI values. The Australian CPI was 53.5 in the year 1989 and 57.5 in 1990:

57.553.5
×
AU$100
=
AU$107.48

AU$100 in 1989 has the same "purchasing power" or "buying power" as AU$107.48 in 1990.

To get the total inflation rate for the 1 years between 1989 and 1990, we use the following formula:

CPI in 1990 - CPI in 1989CPI in 1989
×
100
=
Cumulative inflation rate (1 years)

Plugging in the values to this equation, we get:

57.5 - 53.553.5
×
100
=
7%

News headlines from 1989

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

  • Chinese troops kill an estimated 1,000 students protesting at Tiananmen Square.
  • The first (partially) free elections take place in Poland, bringing democracy to Eastern Europe for the first time in 40 years. (Won by the Solidarity Party)
  • The demolition of the Berlin Wall begins.
  • Presidents George H. W. Bush and Mikhail Gorbachev, declare that the Cold War has ended.

Data Source & Citation

Raw data for these calculations comes from the government of Australia's annual (CPI) as provided by the Reserve Bank of Australia. The consumer price index was established in 1922 and is tracked by Australian Bureau of Statistics (ABS).

You may use the following MLA citation for this page: “Inflation Rate in 1990 | Australia Inflation Calculator.” U.S. Official Inflation Data, Alioth Finance, 23 Oct. 2018, https://www.officialdata.org/Australia-inflation-rate-in-1990.

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


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