Inflation in 1960 and its effect on dollar value
Purchasing power decreased by 4.05% in 1960 compared to 1959. On average, you would have to spend 4.05% more money in 1960 than in 1959 for the same item.
In other words, $1 in 1959 is equivalent in purchasing power to about $1.04 in 1960.
The 1959 inflation rate was 2.78%. The inflation rate in 1960 was 4.05%. The 1960 inflation rate is lower compared to the average inflation rate of 4.64% per year between 1960 and 2020.
Inflation rate is calculated by change in the consumer price index (CPI). The CPI in 1960 was 7.70. It was 7.40 in the previous year, 1959. The difference in CPI between the years is used by the Bureau of Statistics to officially determine inflation.
⌃
| Average inflation rate | 4.05% |
| Converted amount ($1 base) | $1.04 |
| Price difference ($1 base) | $0.04 |
| CPI in 1959 | 7.400 |
| CPI in 1960 | 7.700 |
| Inflation in 1959 | 2.78% |
| Inflation in 1960 | 4.05% |
How to Calculate Inflation Rate for $1, 1959 to 1960
Our calculations use the following inflation rate formula to calculate the change in value between 1959 and 1960:
CPI in 1960
CPI in 1959
×
1959 AUD value
=
1960 AUD value
Then plug in historical CPI values. The Australian CPI was 7.4 in the year 1959 and 7.7 in 1960:
7.77.4
×
$1
=
$1.04
$1 in 1959 has the same "purchasing power" or "buying power" as $1.04 in 1960.
To get the total inflation rate for the 1 years between 1959 and 1960, we use the following formula:
CPI in 1960 - CPI in 1959CPI in 1959
×
100
=
Cumulative inflation rate (1 years)
Plugging in the values to this equation, we get:
7.7 - 7.47.4
×
100
=
4%
News headlines from 1959
Politics and news often influence economic performance. Here's what was happening at the time:
- Hawaii becomes the 50th state of the United States of America.
- Luna I is the first spacecraft to leave the Earth's gravity.
- Fidel Castro becomes the 16th Prime Minister of Cuba after overthrowing Batista.
- The Dalai Lama flees China after India grants him political asylum.
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: “Inflation Rate in 1960 | Australia Inflation Calculator.” Official Inflation Data, Alioth Finance, 2 Jul. 2020, https://www.officialdata.org/Australia-inflation-rate-in-1960.
Special thanks to QuickChart for their chart image API, which is used for chart downloads.
in2013dollars.com is a reference website maintained by the Official Data Foundation.
| Average inflation rate | 4.05% |
| Converted amount ($1 base) | $1.04 |
| Price difference ($1 base) | $0.04 |
| CPI in 1959 | 7.400 |
| CPI in 1960 | 7.700 |
| Inflation in 1959 | 2.78% |
| Inflation in 1960 | 4.05% |