\$

\$1 in 1980 → \$1.39 in 1985

Canadian Inflation Rate, \$1 in 1980 to 1985

According to Statistics Canada consumer price index, prices in 1985 are 38.74% higher than average prices since 1980. The Canadian dollar experienced an average inflation rate of 6.77% per year during this period, meaning the real value of a dollar decreased.

In other words, \$1 in 1980 is equivalent in purchasing power to about \$1.39 in 1985, a difference of \$0.39 over 5 years.

The 1980 inflation rate was 11.06%. The inflation rate in 1985 was 4.40%. The 1985 inflation rate is higher compared to the average inflation rate of 2.18% per year between 1985 and 2020.

 Cumulative price change 38.74% Average inflation rate 6.77% Converted amount (\$1 base) \$1.39 Price difference (\$1 base) \$0.39 CPI in 1980 46.200 CPI in 1985 64.100 Inflation in 1980 11.06% Inflation in 1985 4.40%

Buying power of \$1 in 1980

This chart shows a calculation of buying power equivalence for \$1 in 1980 (price index tracking began in 1914).

For example, if you started with \$1, you would need to end with \$1.39 in order to "adjust" for inflation (sometimes refered to as "beating inflation").

When \$1 is equivalent to \$1.39 over time, that means that the "real value" of a single Canadian 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 1980 dollars, the chart below shows how \$1 buys less over the past 5 years.

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

Year Dollar Value Inflation Rate
1980 \$1.00 11.06%
1981 \$1.12 12.12%
1982 \$1.23 9.27%
1983 \$1.28 4.59%
1984 \$1.33 3.72%
1985 \$1.39 4.40%
1986 \$1.45 4.21%
1987 \$1.51 4.19%
1988 \$1.56 3.88%
1989 \$1.65 5.26%
1990 \$1.73 4.99%
1991 \$1.79 3.75%
1992 \$1.83 2.17%
1993 \$1.86 1.65%
1994 \$1.87 0.23%
1995 \$1.90 1.74%
1996 \$1.94 2.16%
1997 \$1.96 0.78%
1998 \$1.98 1.00%
1999 \$2.03 2.63%
2000 \$2.09 3.20%
2001 \$2.11 0.72%
2002 \$2.19 3.80%
2003 \$2.23 2.08%
2004 \$2.28 2.13%
2005 \$2.33 2.09%
2006 \$2.37 1.67%
2007 \$2.42 2.38%
2008 \$2.45 1.16%
2009 \$2.48 1.32%
2010 \$2.54 2.35%
2011 \$2.60 2.30%
2012 \$2.62 0.83%
2013 \$2.66 1.24%
2014 \$2.69 1.47%
2015 \$2.74 1.61%
2016 \$2.78 1.50%
2017 \$2.82 1.56%
2018 \$2.83 0.31%
2019 \$2.89 1.99%
2020 \$2.95 2.25%*
* Compared to previous annual rate. Not final. See inflation summary for latest 12-month trailing value.

How to Calculate Inflation Rate for \$1, 1980 to 1985

This inflation calculator uses the following inflation rate formula:

CPI in 1985CPI in 1980
×
=

Then plug in historical CPI values. The Canadian CPI was 46.2 in the year 1980 and 64.1 in 1985:

64.146.2
×
\$1
=
\$1.39

\$1 in 1980 has the same "purchasing power" or "buying power" as \$1.39 in 1985.

To get the total inflation rate for the 5 years between 1980 and 1985, we use the following formula:

CPI in 1985 - CPI in 1980CPI in 1980
×
100
=
Cumulative inflation rate (5 years)

Plugging in the values to this equation, we get:

64.1 - 46.246.2
×
100
=
39%

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

• Princess Victoria is crowned Princess of Sweden.
• Iranian protesters storm the Russian embassy in Iran.
• Abdou Diouf is elected president of Senegal after being Prime Minister for ten years.
• Cable News Network (CNN) is transmitted for the first time.
• Saddam Hussein, President of Iraq, declares a holy war on Iran.

Data Source & Citation

Raw data for these calculations comes from the government of Canada's annual Consumer Price Index (CPI), established in 1914 and computed by Statistics Canada (StatCan).

You may use the following MLA citation for this page: “\$1 in 1980 → 1985 | Canada Inflation Calculator.” Official Inflation Data, Alioth Finance, 19 Jan. 2020, https://www.officialdata.org/1980-CAD-in-1985?amount=1.