# \$100 in 1950 is worth \$890.91 in 1985

\$

## Value of \$100 from 1950 to 1985

According to the Bureau of Statistics consumer price index, prices in 1985 are 790.91% higher than average prices since 1950. The Australian dollar experienced an average inflation rate of 6.45% per year during this period, causing the real value of a dollar to decrease.

In other words, \$100 in 1950 is equivalent in purchasing power to about \$890.91 in 1985, a difference of \$790.91 over 35 years.

The 1950 inflation rate was 10.00%. The inflation rate in 1985 was 6.52%. The 1985 inflation rate is higher compared to the average inflation rate of 3.17% per year between 1985 and 2020.

 Cumulative price change 790.91% Average inflation rate 6.45% Converted amount (\$100 base) \$890.91 Price difference (\$100 base) \$790.91 CPI in 1950 4.400 CPI in 1985 39.200 Inflation in 1950 10.00% Inflation in 1985 6.52%

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

## Buying power of \$100 in 1950

This chart shows a calculation of buying power equivalence for \$100 in 1950 (price index tracking began in 1922).

For example, if you started with \$100, you would need to end with \$890.91 in order to "adjust" for inflation (sometimes refered to as "beating inflation").

When \$100 is equivalent to \$890.91 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 1950 dollars, the chart below shows how \$100 is worth less over 35 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:

Dollar inflation: 1950-1985
Year Dollar Value Inflation Rate
1950 \$100.00 10.00%
1951 \$118.18 18.18%
1952 \$138.64 17.31%
1953 \$145.45 4.92%
1954 \$147.73 1.56%
1955 \$150.00 1.54%
1956 \$159.09 6.06%
1957 \$163.64 2.86%
1958 \$163.64 0.00%
1959 \$168.18 2.78%
1960 \$175.00 4.05%
1961 \$177.27 1.30%
1962 \$177.27 0.00%
1963 \$179.55 1.28%
1964 \$184.09 2.53%
1965 \$190.91 3.70%
1966 \$195.45 2.38%
1967 \$202.27 3.49%
1968 \$209.09 3.37%
1969 \$215.91 3.26%
1970 \$222.73 3.16%
1971 \$236.36 6.12%
1972 \$250.00 5.77%
1973 \$272.73 9.09%
1974 \$315.91 15.83%
1975 \$363.64 15.11%
1976 \$411.36 13.13%
1977 \$461.36 12.15%
1978 \$497.73 7.88%
1979 \$543.18 9.13%
1980 \$600.00 10.46%
1981 \$656.82 9.47%
1982 \$729.55 11.07%
1983 \$804.55 10.28%
1984 \$836.36 3.95%
1985 \$890.91 6.52%
1986 \$972.73 9.18%
1987 \$1,054.55 8.41%
1988 \$1,131.82 7.33%
1989 \$1,215.91 7.43%
1990 \$1,306.82 7.48%
1991 \$1,347.73 3.13%
1992 \$1,361.36 1.01%
1993 \$1,384.09 1.67%
1994 \$1,411.36 1.97%
1995 \$1,477.27 4.67%
1996 \$1,515.91 2.62%
1997 \$1,520.45 0.30%
1998 \$1,531.82 0.75%
1999 \$1,554.55 1.48%
2000 \$1,625.00 4.53%
2001 \$1,695.45 4.34%
2002 \$1,747.73 3.08%
2003 \$1,795.45 2.73%
2004 \$1,836.36 2.28%
2005 \$1,886.36 2.72%
2006 \$1,952.27 3.49%
2007 \$1,997.73 2.33%
2008 \$2,086.36 4.44%
2009 \$2,122.73 1.74%
2010 \$2,184.09 2.89%
2011 \$2,256.82 3.33%
2012 \$2,295.45 1.71%
2013 \$2,352.27 2.48%
2014 \$2,411.36 2.51%
2015 \$2,447.73 1.51%
2016 \$2,479.55 1.30%
2017 \$2,527.27 1.92%
2018 \$2,559.09 1.26%
2019 \$2,607.71 1.90%
2020 \$2,657.26 1.90%*
* Compared to previous annual rate. Not final. See inflation summary for latest 12-month trailing value.
Click to show 29 more rows

This conversion table shows various other 1950 amounts in 1985 dollars, based on the 790.91% change in prices:

Conversion Table: Value of a dollar in 1985
Initial value Equivalent value
\$1 dollar in 1950 \$8.91 dollars in 1985
\$5 dollars in 1950 \$44.55 dollars in 1985
\$10 dollars in 1950 \$89.09 dollars in 1985
\$50 dollars in 1950 \$445.45 dollars in 1985
\$100 dollars in 1950 \$890.91 dollars in 1985
\$500 dollars in 1950 \$4,454.55 dollars in 1985
\$1,000 dollars in 1950 \$8,909.09 dollars in 1985
\$5,000 dollars in 1950 \$44,545.45 dollars in 1985
\$10,000 dollars in 1950 \$89,090.91 dollars in 1985
\$50,000 dollars in 1950 \$445,454.55 dollars in 1985
\$100,000 dollars in 1950 \$890,909.09 dollars in 1985
\$500,000 dollars in 1950 \$4,454,545.45 dollars in 1985
\$1,000,000 dollars in 1950 \$8,909,090.91 dollars in 1985

## How to Calculate Inflation Rate for \$100, 1950 to 1985

Our calculations use the following inflation rate formula to calculate the change in value between 1950 and 1985:

CPI in 1985 CPI in 1950
×
1950 AUD value
=
1985 AUD value

Then plug in historical CPI values. The Australian CPI was 4.4 in the year 1950 and 39.2 in 1985:

39.24.4
×
\$100
=
\$890.91

\$100 in 1950 has the same "purchasing power" or "buying power" as \$890.91 in 1985.

To get the total inflation rate for the 35 years between 1950 and 1985, we use the following formula:

CPI in 1985 - CPI in 1950CPI in 1950
×
100
=
Cumulative inflation rate (35 years)

Plugging in the values to this equation, we get:

39.2 - 4.44.4
×
100
=
791%

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

• Jerusalem is proclaimed the capital of Israel by Knesset
• North Korea invades South Korea.
• Harry Truman announces that America will seek to develop a hydrogen bomb.
• Chinese forces occupy Tibet.

## 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: “\$100 in 1950 → 1985 | Australia Inflation Calculator.” Official Inflation Data, Alioth Finance, 31 May. 2020, https://www.officialdata.org/1950-AUD-in-1985?amount=100.