# Australian inflation rate in 1966: 2.38%

## Australia Inflation Calculator

\$

### Inflation in 1966 and Its Effect on Dollar Value

Purchasing power decreased by 2.38% in 1966 compared to 1965. On average, you would have to spend 2.38% more money in 1966 than in 1965 for the same item.

In other words, \$1 in 1965 is equivalent in purchasing power to about \$1.02 in 1966.

The 1965 inflation rate was 3.70%. The inflation rate in 1966 was 2.38%. The 1966 inflation rate is lower compared to the average inflation rate of 4.95% per year between 1966 and 2020.

Inflation rate is calculated by change in the consumer price index (CPI). The CPI in 1966 was 8.60. It was 8.40 in the previous year, 1965. The difference in CPI between the years is used by the Bureau of Statistics to officially determine inflation.

 Average inflation rate 2.38% Converted amount (\$1 base) \$1.02 Price difference (\$1 base) \$0.02 CPI in 1965 8.400 CPI in 1966 8.600 Inflation in 1965 3.70% Inflation in 1966 2.38%

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

### How to Calculate Inflation Rate for \$1, 1965 to 1966

This inflation calculator uses the following inflation rate formula:

CPI in 1966CPI in 1965
×
1965 AUD value
=
1966 AUD value

Then plug in historical CPI values. The Australian CPI was 8.4 in the year 1965 and 8.6 in 1966:

8.68.4
×
\$1
=
\$1.02

\$1 in 1965 has the same "purchasing power" or "buying power" as \$1.02 in 1966.

To get the total inflation rate for the 1 years between 1965 and 1966, we use the following formula:

CPI in 1966 - CPI in 1965CPI in 1965
×
100
=
Cumulative inflation rate (1 years)

Plugging in the values to this equation, we get:

8.6 - 8.48.4
×
100
=
2%

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

• Aleksei Leonov, a Soviet cosmonaut, makes the first Spacewalk, when he leaves the Hos spacecraft for 12 minutes.
• Winston Churchill, is given the largest state funeral ever, it takes place in St Paul's Cathedral, London.
• The Supreme Court legalises the use of contraception by married couples.
• France becomes the third nation in space, after launching its first satellite.
• Lyndon B. Johnson, US President, signs the Voting Rights Act, making voting discrimination against minorities illegal.

### 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 1966 | Australia Inflation Calculator.” Official Inflation Data, Alioth Finance, 8 Apr. 2020, https://www.officialdata.org/Australia-inflation-rate-in-1966.