# Australian inflation rate in 1980: 10.46%

## Australia Inflation Calculator

\$

### Inflation in 1980 and Its Effect on Dollar Value

Purchasing power decreased by 10.46% in 1980 compared to 1979. On average, you would have to spend 10.46% more money in 1980 than in 1979 for the same item.

In other words, \$1 in 1979 is equivalent in purchasing power to about \$1.10 in 1980.

The 1979 inflation rate was 9.13%. The inflation rate in 1980 was 10.46%. The 1980 inflation rate is higher compared to the average inflation rate of 3.79% per year between 1980 and 2020.

Inflation rate is calculated by change in the consumer price index (CPI). The CPI in 1980 was 26.40. It was 23.90 in the previous year, 1979. The difference in CPI between the years is used by the Bureau of Statistics to officially determine inflation.

 Average inflation rate 10.46% Converted amount (\$1 base) \$1.10 Price difference (\$1 base) \$0.10 CPI in 1979 23.900 CPI in 1980 26.400 Inflation in 1979 9.13% Inflation in 1980 10.46%

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

### How to Calculate Inflation Rate for \$1, 1979 to 1980

This inflation calculator uses the following inflation rate formula:

CPI in 1980CPI in 1979
×
1979 AUD value
=
1980 AUD value

Then plug in historical CPI values. The Australian CPI was 23.9 in the year 1979 and 26.4 in 1980:

26.423.9
×
\$1
=
\$1.10

\$1 in 1979 has the same "purchasing power" or "buying power" as \$1.10 in 1980.

To get the total inflation rate for the 1 years between 1979 and 1980, we use the following formula:

CPI in 1980 - CPI in 1979CPI in 1979
×
100
=
Cumulative inflation rate (1 years)

Plugging in the values to this equation, we get:

26.4 - 23.923.9
×
100
=
10%

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

• Ayatollah Khomeini returns to Iran after fifteen years of exile.
• Ugandan dictator Idi Amin flees to Libya after the Tanzanian army captures Kampala, Uganda's capital.
• Margaret Thatcher becomes Prime Minister of United Kingdom, the first ever woman to hold the position.
• Afghanistan is invaded by the Soviets and overthrowing of President Hafizullah Amin.

### 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 1980 | Australia Inflation Calculator.” Official Inflation Data, Alioth Finance, 27 Mar. 2020, https://www.officialdata.org/Australia-inflation-rate-in-1980.