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# \$1 in 1945 → \$0.97 in 1942

### Australian Inflation Rate, \$1 in 1945 to 1942

According to the Bureau of Statistics consumer price index, prices in 1942 are 3.12% lower than average prices since 1945. The Australian dollar experienced an average inflation rate of 1.06% per year during this period, meaning the real value of a dollar decreased.

In other words, \$1 in 1945 is equivalent in purchasing power to about \$0.97 in 1942, a difference of \$-0.03 over 3 years.

The 1942 inflation rate was 10.71%. The inflation rate in 1945 was 0.00%. The 1945 inflation rate is lower compared to the average inflation rate of 4.91% per year between 1945 and 2020.

 Cumulative price change -3.12% Average inflation rate 1.06% Converted amount (\$1 base) \$0.97 Price difference (\$1 base) \$-0.03 CPI in 1945 3.200 CPI in 1942 3.100 Inflation in 1942 10.71% Inflation in 1945 0.00%

AUD Inflation since 1922
Annual Rate, the Bureau of Statistics CPI

### Buying power of \$1 in 1942

This chart shows a calculation of buying power equivalence for \$1 in 1942 (price index tracking began in 1922).

For example, if you started with \$1, you would need to end with \$0.97 in order to "adjust" for inflation (sometimes refered to as "beating inflation").

When \$1 is equivalent to \$0.97 over time, that means that the "real value" of a single Australian dollar decreases over time. In other words, a dollar will pay for fewer items at the store.

This effect explains how inflation erodes the value of a dollar over time. By calculating the value in 1942 dollars, the chart below shows how \$1 buys less over the past 3 years.

According to the Bureau of Statistics, each of these AUD amounts below is equal in terms of what it could buy at the time:

Year Dollar Value Inflation Rate
1942 \$1.00 10.71%
1943 \$1.03 3.23%
1944 \$1.03 0.00%
1945 \$1.03 0.00%
1946 \$1.03 0.00%
1947 \$1.10 6.25%
1948 \$1.19 8.82%
1949 \$1.29 8.11%
1950 \$1.42 10.00%
1951 \$1.68 18.18%
1952 \$1.97 17.31%
1953 \$2.06 4.92%
1954 \$2.10 1.56%
1955 \$2.13 1.54%
1956 \$2.26 6.06%
1957 \$2.32 2.86%
1958 \$2.32 0.00%
1959 \$2.39 2.78%
1960 \$2.48 4.05%
1961 \$2.52 1.30%
1962 \$2.52 0.00%
1963 \$2.55 1.28%
1964 \$2.61 2.53%
1965 \$2.71 3.70%
1966 \$2.77 2.38%
1967 \$2.87 3.49%
1968 \$2.97 3.37%
1969 \$3.06 3.26%
1970 \$3.16 3.16%
1971 \$3.35 6.12%
1972 \$3.55 5.77%
1973 \$3.87 9.09%
1974 \$4.48 15.83%
1975 \$5.16 15.11%
1976 \$5.84 13.13%
1977 \$6.55 12.15%
1978 \$7.06 7.88%
1979 \$7.71 9.13%
1980 \$8.52 10.46%
1981 \$9.32 9.47%
1982 \$10.35 11.07%
1983 \$11.42 10.28%
1984 \$11.87 3.95%
1985 \$12.65 6.52%
1986 \$13.81 9.18%
1987 \$14.97 8.41%
1988 \$16.06 7.33%
1989 \$17.26 7.43%
1990 \$18.55 7.48%
1991 \$19.13 3.13%
1992 \$19.32 1.01%
1993 \$19.65 1.67%
1994 \$20.03 1.97%
1995 \$20.97 4.67%
1996 \$21.52 2.62%
1997 \$21.58 0.30%
1998 \$21.74 0.75%
1999 \$22.06 1.48%
2000 \$23.06 4.53%
2001 \$24.06 4.34%
2002 \$24.81 3.08%
2003 \$25.48 2.73%
2004 \$26.06 2.28%
2005 \$26.77 2.72%
2006 \$27.71 3.49%
2007 \$28.35 2.33%
2008 \$29.61 4.44%
2009 \$30.13 1.74%
2010 \$31.00 2.89%
2011 \$32.03 3.33%
2012 \$32.58 1.71%
2013 \$33.39 2.48%
2014 \$34.23 2.51%
2015 \$34.74 1.51%
2016 \$35.19 1.30%
2017 \$35.87 1.92%
2018 \$36.32 1.26%
2019 \$37.01 1.90%
2020 \$37.72 1.90%*
* Compared to previous annual rate. Not final. See inflation summary for latest 12-month trailing value.

### How to Calculate Inflation Rate for \$1, 1942 to 1945

This inflation calculator uses the following inflation rate formula:

CPI in 1942CPI in 1945
×
1945 AUD value
=
1942 AUD value

Then plug in historical CPI values. The Australian CPI was 3.2 in the year 1945 and 3.1 in 1942:

3.13.2
×
\$1
=
\$0.97

\$1 in 1945 has the same "purchasing power" or "buying power" as \$0.97 in 1942.

To get the total inflation rate for the 3 years between 1942 and 1945, we use the following formula:

CPI in 1942 - CPI in 1945CPI in 1945
×
100
=
Cumulative inflation rate (3 years)

Plugging in the values to this equation, we get:

3.1 - 3.23.2
×
100
=
-3%

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

• The USSR captures Budapest from Germany in a battle that kills 159,000 people.
• The US Fleet captures Iwo Jima.
• 1,500 US Navy ships bomb Okinawa: the operation is believed to be the largest of World War II
• Iwo Jima is occupied by America, costing 6,000 American lives and a further 18,000 Japanese lives.
• Buchenwald, the first Nazi concentration camp, is liberated.

### 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: “\$1 in 1945 → 1942 | Australia Inflation Calculator.” Official Inflation Data, Alioth Finance, 20 Jan. 2020, https://www.officialdata.org/1945-AUD-in-1942?amount=1.