# Canadian inflation rate in 1978: 8.97%

\$

## Inflation in 1978 and its effect on dollar value

\$1 in 1977 is equivalent in purchasing power to about \$1.09 in 1978. The dollar had an average inflation rate of 8.97% per year between 1977 and 1978, producing a cumulative price increase of 8.97%. Purchasing power decreased by 8.97% in 1978 compared to 1977. On average, you would have to spend 8.97% more money in 1978 than in 1977 for the same item.

This means that prices in 1978 are 1.09 times as high as average prices since 1977, according to Statistics Canada consumer price index.

The inflation rate in 1977 was 7.98%. The inflation rate in 1978 was 8.97%. The 1978 inflation rate is higher compared to the average inflation rate of 3.36% per year between 1978 and 2023.

Inflation rate is calculated by change in the consumer price index (CPI). The CPI in 1978 was 36.63. It was 33.62 in the previous year, 1977. The difference in CPI between the years is used by Statistics Canada to officially determine inflation.

 Average inflation rate 8.97% Converted amount\$1 base \$1.09 Price difference\$1 base \$0.09 CPI in 1977 33.617 CPI in 1978 36.633 Inflation in 1977 7.98% Inflation in 1978 8.97% \$1 in 1977 \$1.09 in 1978

## How to calculate inflation rate for \$1, 1977 to 1978

Our calculations use the following inflation rate formula to calculate the change in value between 1977 and 1978:

CPI in 1978 CPI in 1977
×
=

Then plug in historical CPI values. The Canadian CPI was 33.61666667 in the year 1977 and 36.63333333 in 1978:

36.6333333333.61666667
×
\$1
=
\$1.09

\$1 in 1977 has the same "purchasing power" or "buying power" as \$1.09 in 1978.

To get the total inflation rate for the 1 years between 1977 and 1978, we use the following formula:

CPI in 1978 - CPI in 1977CPI in 1977
×
100
=
Cumulative inflation rate (1 years)

Plugging in the values to this equation, we get:

36.63333333 - 33.6166666733.61666667
×
100
=
9%

## Data source & citation

Raw data for these calculations comes from the government of Canada's annual Consumer Price Index (CPI), established in 1914 and computed by Statistics Canada (StatCan).

You may use the following MLA citation for this page: “Inflation Rate in 1978 | Canada Inflation Calculator.” Official Inflation Data, Alioth Finance, 1 Oct. 2023, https://www.officialdata.org/CAD-inflation-rate-in-1978.

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. 