$1 in 1975 → $0.92 in 1974

Inflation Calculator

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U.S. Inflation Rate, $1 from 1975 to 1974

According to the Bureau of Labor Statistics consumer price index, prices in 1974 are 8.36% lower than average prices since 1975. The U.S. dollar experienced an average inflation rate of 9.13% per year during this period, meaning the real value of a dollar decreased.

In other words, $1 in 1975 is equivalent in purchasing power to about $0.92 in 1974.

The 1974 inflation rate was 11.04%. The inflation rate in 1975 was 9.13%. The 1975 inflation rate is higher compared to the average inflation rate of 3.54% per year between 1975 and 2020.


Inflation from 1975 to 1974
Average inflation rate 9.13%
Converted amount ($1 base) $0.92
Price difference ($1 base) $-0.08
CPI in 1975 53.800
CPI in 1974 49.300
Inflation in 1974 11.04%
Inflation in 1975 9.13%

USD Inflation since 1913
Annual Rate, the Bureau of Labor Statistics CPI
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Inflation by City

Inflation can vary widely by city, even within the United States. Here's how some cities fared in 1975 to 1974 (figures shown are purchasing power equivalents of $1):

Houston, Texas experienced the highest rate of inflation during the 1 years between 1974 and 1975 (12.18%).

Detroit, Michigan experienced the lowest rate of inflation during the 1 years between 1974 and 1975 (7.45%).

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 £1.00 in 1975 would be equivalent to £0.80 in 1974, an absolute change of £-0.20 and a cumulative change of -19.51%.

In Canada, CA$1.00 in 1975 would be equivalent to CA$0.91 in 1974, an absolute change of CA$-0.09 and a cumulative change of -8.61%.

Compare these numbers to the US's overall absolute change of $-0.08 and total percent change of -8.36%.


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 1975 and 1974.

Compare these values to the overall average of 9.13% per year:

Category Avg Inflation (%) Total Inflation (%) $1 in 1974 → 1975
Food and beverages 8.44 8.44 1.08
Housing 10.55 10.55 1.11
Apparel 4.45 4.45 1.04
Transportation 9.39 9.39 1.09
Medical care 12.10 12.10 1.12
Recreation 0.00 0.00 1.00
Education and communication 0.00 0.00 1.00
Other goods and services 8.35 8.35 1.08

For all these visualizations, it's important to note that not all categories may have been tracked since 1975. This table and charts use the earliest available data for each category.



How to Calculate Inflation Rate for $1, 1974 to 1975

This inflation calculator uses the following inflation rate formula:

CPI in 1974CPI in 1975
×
1975 USD value
=
1974 USD value

Then plug in historical CPI values. The U.S. CPI was 53.8 in the year 1975 and 49.3 in 1974:

49.353.8
×
$1
=
$0.92

$1 in 1975 has the same "purchasing power" or "buying power" as $0.92 in 1974.

To get the total inflation rate for the 1 years between 1974 and 1975, we use the following formula:

CPI in 1974 - CPI in 1975CPI in 1975
×
100
=
Cumulative inflation rate (1 years)

Plugging in the values to this equation, we get:

49.3 - 53.853.8
×
100
=
-8%

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 9.21% per year between 1975 and 1974 (vs all-CPI inflation of 9.13%), for an inflation total of 9.21%.

When using the core inflation measurement, $1 in 1975 is equivalent in buying power to $1.09 in 1974, a difference of $0.09. Recall that for All Items, the converted amount is $0.92 with a difference of $-0.08.

In 1975, core inflation was 8.25%.


News headlines from 1974

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

  • Margaret Thatcher becomes leader of the British Conservative Party, after defeating Edward Heath.
  • Ethiopia abrogates its 3,000-year-old monarchy.
  • Bill Gates and Paul Allen found Microsoft.
  • The US signals the beginning of the end of its involvement Vietnam, after it begins to evacuate its citizens from Saigon.
  • Gough Whitlam is removed by Governor General Sir John Kerr: the first time an elected Prime Minister had been deposed in 200 years (Australia).

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 in 1975 → 1974 | Inflation Calculator.” Official Inflation Data, Alioth Finance, 18 Feb. 2020, https://www.officialdata.org/1975-dollars-in-1974?amount=1.

Special thanks to QuickChart for providing downloadable chart images.

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


Ian Webster

About the author

Ian Webster is an engineer and data expert based in San Mateo, California. He has worked for Google, NASA, and consulted for governments around the world on data pipelines and data analysis. Disappointed by the lack of clear resources on the impacts of inflation on economic indicators, Ian believes this website serves as a valuable public tool. Ian earned his degree in Computer Science from Dartmouth College.

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Inflation from 1975 to 1974
Average inflation rate 9.13%
Converted amount ($1 base) $0.92
Price difference ($1 base) $-0.08
CPI in 1975 53.800
CPI in 1974 49.300
Inflation in 1974 11.04%
Inflation in 1975 9.13%