# Australian inflation rate in 1994: 1.97%

## Australia Inflation Calculator

\$

### Inflation in 1994 and Its Effect on Dollar Value

Purchasing power decreased by 1.97% in 1994 compared to 1993. On average, you would have to spend 1.97% more money in 1994 than in 1993 for the same item.

In other words, \$1 in 1993 is equivalent in purchasing power to about \$1.02 in 1994.

The 1993 inflation rate was 1.67%. The inflation rate in 1994 was 1.97%. The 1994 inflation rate is lower compared to the average inflation rate of 2.46% per year between 1994 and 2020.

Inflation rate is calculated by change in the consumer price index (CPI). The CPI in 1994 was 62.10. It was 60.90 in the previous year, 1993. The difference in CPI between the years is used by the Bureau of Statistics to officially determine inflation.

 Average inflation rate 1.97% Converted amount (\$1 base) \$1.02 Price difference (\$1 base) \$0.02 CPI in 1993 60.900 CPI in 1994 62.100 Inflation in 1993 1.67% Inflation in 1994 1.97%

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

### How to Calculate Inflation Rate for \$1, 1993 to 1994

This inflation calculator uses the following inflation rate formula:

CPI in 1994CPI in 1993
×
1993 AUD value
=
1994 AUD value

Then plug in historical CPI values. The Australian CPI was 60.9 in the year 1993 and 62.1 in 1994:

62.160.9
×
\$1
=
\$1.02

\$1 in 1993 has the same "purchasing power" or "buying power" as \$1.02 in 1994.

To get the total inflation rate for the 1 years between 1993 and 1994, we use the following formula:

CPI in 1994 - CPI in 1993CPI in 1993
×
100
=
Cumulative inflation rate (1 years)

Plugging in the values to this equation, we get:

62.1 - 60.960.9
×
100
=
2%

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

• Letters of mutual recognition are exchanged between Israel and the Palestine Liberation Organization.
• The Nobel Peace Prize is awarded to Nelson Mandela and South African President de Klerk.
• A new democratic constitution is approved by black and white leaders in South Africa.

### 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 1994 | Australia Inflation Calculator.” Official Inflation Data, Alioth Finance, 8 Apr. 2020, https://www.officialdata.org/Australia-inflation-rate-in-1994.