# \$100 in 1971 is worth \$16.87 in 1971

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## Value of \$100 from 2016 to 1971

According to the Bureau of Labor Statistics consumer price index, prices in 1971 are 83.13% lower than average prices since 2016. The U.S. dollar experienced an average inflation rate of 4.03% per year during this period, causing the real value of a dollar to decrease.

In other words, \$100 in 2016 is equivalent in purchasing power to about \$16.87 in 1971, a difference of \$-83.13 over 45 years.

The 1971 inflation rate was 4.38%. The inflation rate in 2016 was 1.26%. The 2016 inflation rate is lower compared to the average inflation rate of 1.66% per year between 2016 and 2020.

 Cumulative price change -83.13% Average inflation rate 4.03% Converted amount (\$100 base) \$16.87 Price difference (\$100 base) \$-83.13 CPI in 2016 240.007 CPI in 1971 40.500 Inflation in 1971 4.38% Inflation in 2016 1.26%

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

## Buying power of \$100 in 1971

This chart shows a calculation of buying power equivalence for \$100 in 1971 (price index tracking began in 1635).

For example, if you started with \$100, you would need to end with \$16.87 in order to "adjust" for inflation (sometimes refered to as "beating inflation").

When \$100 is equivalent to \$16.87 over time, that means that the "real value" of a single U.S. 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 1971 dollars, the chart below shows how \$100 is worth less over 45 years.

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

Dollar inflation: 1971-2016
Year Dollar Value Inflation Rate
1971 \$100.00 4.38%
1972 \$103.21 3.21%
1973 \$109.63 6.22%
1974 \$121.73 11.04%
1975 \$132.84 9.13%
1976 \$140.49 5.76%
1977 \$149.63 6.50%
1978 \$160.99 7.59%
1979 \$179.26 11.35%
1980 \$203.46 13.50%
1981 \$224.44 10.32%
1982 \$238.27 6.16%
1983 \$245.93 3.21%
1984 \$256.54 4.32%
1985 \$265.68 3.56%
1986 \$270.62 1.86%
1987 \$280.49 3.65%
1988 \$292.10 4.14%
1989 \$306.17 4.82%
1990 \$322.72 5.40%
1991 \$336.30 4.21%
1992 \$346.42 3.01%
1993 \$356.79 2.99%
1994 \$365.93 2.56%
1995 \$376.30 2.83%
1996 \$387.41 2.95%
1997 \$396.30 2.29%
1998 \$402.47 1.56%
1999 \$411.36 2.21%
2000 \$425.19 3.36%
2001 \$437.28 2.85%
2002 \$444.20 1.58%
2003 \$454.32 2.28%
2004 \$466.42 2.66%
2005 \$482.22 3.39%
2006 \$497.78 3.23%
2007 \$511.96 2.85%
2008 \$531.61 3.84%
2009 \$529.72 -0.36%
2010 \$538.41 1.64%
2011 \$555.40 3.16%
2012 \$566.90 2.07%
2013 \$575.20 1.46%
2014 \$584.53 1.62%
2015 \$585.23 0.12%
2016 \$592.61 1.26%
2017 \$605.23 2.13%
2018 \$620.32 2.49%
2019 \$631.25 1.76%
2020 \$633.06 0.29%*
* Compared to previous annual rate. Not final. See inflation summary for latest 12-month trailing value.
Click to show 39 more rows

This conversion table shows various other 1971 amounts in 2016 dollars, based on the -83.13% change in prices:

Conversion Table: Value of a dollar in 2016
Initial value Equivalent value
\$1 dollar in 1971 \$5.93 dollars in 2016
\$5 dollars in 1971 \$29.63 dollars in 2016
\$10 dollars in 1971 \$59.26 dollars in 2016
\$50 dollars in 1971 \$296.30 dollars in 2016
\$100 dollars in 1971 \$592.61 dollars in 2016
\$500 dollars in 1971 \$2,963.05 dollars in 2016
\$1,000 dollars in 1971 \$5,926.10 dollars in 2016
\$5,000 dollars in 1971 \$29,630.49 dollars in 2016
\$10,000 dollars in 1971 \$59,260.99 dollars in 2016
\$50,000 dollars in 1971 \$296,304.94 dollars in 2016
\$100,000 dollars in 1971 \$592,609.88 dollars in 2016
\$500,000 dollars in 1971 \$2,963,049.38 dollars in 2016
\$1,000,000 dollars in 1971 \$5,926,098.77 dollars in 2016

## Inflation by City

Inflation can vary widely by city, even within the United States. Here's how some cities fared in 2016 to 1971 (figures shown are purchasing power equivalents of \$100):

San Francisco, California experienced the highest rate of inflation during the 45 years between 1971 and 2016 (4.36%).

Detroit, Michigan experienced the lowest rate of inflation during the 45 years between 1971 and 2016 (3.83%).

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 £100.00 in 2016 would be equivalent to £7.71 in 1971, an absolute change of £-92.29 and a cumulative change of -92.29%.

In Canada, CA\$100.00 in 2016 would be equivalent to CA\$16.59 in 1971, an absolute change of CA\$-83.41 and a cumulative change of -83.41%.

Compare these numbers to the US's overall absolute change of \$-83.13 and total percent change of -83.13%.

## Inflation by Spending Category

CPI is the weighted combination of many categories of spending that are tracked by the government. Breaking down these categories helps explain the main drivers behind price changes. This chart shows the average rate of inflation for select CPI categories between 2016 and 1971.

Compare these values to the overall average of 4.03% per year:

Category Avg Inflation (%) Total Inflation (%) \$100 in 1971 → 2016
Food and beverages 4.06 498.55 598.55
Housing 4.22 542.32 642.32
Apparel 1.62 106.32 206.32
Transportation 3.61 393.88 493.88
Medical care 5.83 1,183.26 1,283.26
Recreation 1.11 64.02 164.02
Education and communication 2.14 158.85 258.85
Other goods and services 5.22 885.99 985.99

The graph below compares inflation in categories of goods over time. Click on a category such as "Food" to toggle it on or off:

For all these visualizations, it's important to note that not all categories may have been tracked since 2016. This table and charts use the earliest available data for each category.

## How to Calculate Inflation Rate for \$100, 1971 to 2016

Our calculations use the following inflation rate formula to calculate the change in value between 1971 and 2016:

CPI in 1971 CPI in 2016
×
2016 USD value
=
1971 USD value

Then plug in historical CPI values. The U.S. CPI was 240.007 in the year 2016 and 40.5 in 1971:

40.5240.007
×
\$100
=
\$16.87

\$100 in 2016 has the same "purchasing power" or "buying power" as \$16.87 in 1971.

To get the total inflation rate for the 45 years between 1971 and 2016, we use the following formula:

CPI in 1971 - CPI in 2016CPI in 2016
×
100
=
Cumulative inflation rate (45 years)

Plugging in the values to this equation, we get:

40.5 - 240.007240.007
×
100
=
-83%

## 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 3.98% per year between 2016 and 1971 (vs all-CPI inflation of 4.03%), for an inflation total of 479.34%.

When using the core inflation measurement, \$100 in 2016 is equivalent in buying power to \$579.34 in 1971, a difference of \$479.34. Recall that for All Items, the converted amount is \$16.87 with a difference of \$-83.13.

In 2016, core inflation was 4.69%.

## News headlines from 1971

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

• The United Kingdom votes to leave the European Union in a referendum, prompting Prime Minister David Cameron to resign.
• Donald Trump becomes the 45th President of the United States.
• The World Health Organisation confirms the outbreak of the Zika virus.
• Andrei Karlov, the Russian ambassador to Turkey, is assassinated.

## 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: “\$100 in 2016 → 1971 | Inflation Calculator.” Official Inflation Data, Alioth Finance, 4 Jun. 2020, https://www.officialdata.org/2016-dollars-in-1971?amount=100.

Special thanks to QuickChart for providing downloadable chart images.

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

#### 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.

 Cumulative price change -83.13% Average inflation rate 4.03% Converted amount (\$100 base) \$16.87 Price difference (\$100 base) \$-83.13 CPI in 2016 240.007 CPI in 1971 40.500 Inflation in 1971 4.38% Inflation in 2016 1.26%