Inflation in 1974 and its effect on dollar value
$1 in 1973 is equivalent in purchasing power to about $1.16 in 1974. The dollar had an average inflation rate of 15.83% per year between 1973 and 1974, producing a cumulative price increase of 15.83%. Purchasing power decreased by 15.83% in 1974 compared to 1973. On average, you would have to spend 15.83% more money in 1974 than in 1973 for the same item.
This means that prices in 1974 are 1.16 times as high as average prices since 1973, according to the Bureau of Statistics consumer price index.
The inflation rate in 1973 was 9.09%. The inflation rate in 1974 was 15.83%. The 1974 inflation rate is higher compared to the average inflation rate of 4.66% per year between 1974 and 2024.
Inflation rate is calculated by change in the consumer price index (CPI). The CPI in 1974 was 13.90. It was 12.00 in the previous year, 1973. The difference in CPI between the years is used by the Bureau of Statistics to officially determine inflation.
⌃
| Average inflation rate | 15.83% |
| Converted amount $1 base | $1.16 |
| Price difference $1 base | $0.16 |
| CPI in 1973 | 12.000 |
| CPI in 1974 | 13.900 |
| Inflation in 1973 | 9.09% |
| Inflation in 1974 | 15.83% |
| $1 in 1973 | $1.16 in 1974 |
How to calculate inflation rate for $1, 1973 to 1974
Our calculations use the following inflation rate formula to calculate the change in value between 1973 and 1974:
CPI in 1974 CPI in 1973
×
1973 AUD value
=
1974 AUD value
Then plug in historical CPI values. The Australian CPI was 12 in the year 1973 and 13.9 in 1974:
13.912
×
$1
=
$1.16
$1 in 1973 has the same "purchasing power" or "buying power" as $1.16 in 1974.
To get the total inflation rate for the 1 years between 1973 and 1974, we use the following formula:
CPI in 1974 - CPI in 1973CPI in 1973
×
100
=
Cumulative inflation rate (1 years)
Plugging in the values to this equation, we get:
13.9 - 1212
×
100
=
16%
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 1974 | Australia Inflation Calculator.” Official Inflation Data, Alioth Finance, 9 Oct. 2024, https://www.officialdata.org/Australia-inflation-rate-in-1974.
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 | 15.83% |
| Converted amount $1 base | $1.16 |
| Price difference $1 base | $0.16 |
| CPI in 1973 | 12.000 |
| CPI in 1974 | 13.900 |
| Inflation in 1973 | 9.09% |
| Inflation in 1974 | 15.83% |
| $1 in 1973 | $1.16 in 1974 |