Inflation in 1998 and its effect on euro value
Purchasing power decreased by 1.23% in 1998 compared to 1997. On average, you would have to spend 1.23% more money in 1998 than in 1997 for the same item.
In other words, €1 in 1997 is equivalent in purchasing power to about €1.01 in 1998.
The 1997 inflation rate was 1.70%. The inflation rate in 1998 was 1.23%. The 1998 inflation rate is lower compared to the average inflation rate of 1.68% per year between 1998 and 2020.
Inflation rate is calculated by change in the consumer price index (CPI). The CPI in 1998 was 73.45. It was 72.56 in the previous year, 1997. The difference in CPI between the years is used by the European Central Bank to officially determine inflation.
⌃
| Average inflation rate | 1.23% |
| Converted amount (€1 base) | €1.01 |
| Price difference (€1 base) | €0.01 |
| CPI in 1997 | 72.555 |
| CPI in 1998 | 73.445 |
| Inflation in 1997 | 1.70% |
| Inflation in 1998 | 1.23% |
How to Calculate Inflation Rate for €1, 1997 to 1998
Our calculations use the following inflation rate formula to calculate the change in value between 1997 and 1998:
CPI in 1998
CPI in 1997
×
1997 EUR value
=
1998 EUR value
Then plug in historical CPI values. The Euro CPI was 72.555 in the year 1997 and 73.445 in 1998:
73.44572.555
×
€1
=
€1.01
€1 in 1997 has the same "purchasing power" or "buying power" as €1.01 in 1998.
To get the total inflation rate for the 1 years between 1997 and 1998, we use the following formula:
CPI in 1998 - CPI in 1997CPI in 1997
×
100
=
Cumulative inflation rate (1 years)
Plugging in the values to this equation, we get:
73.445 - 72.55572.555
×
100
=
1%
News headlines from 1997
Politics and news often influence economic performance. Here's what was happening at the time:
- Production, stockpiling and use of chemical weapons is outlawed as the Chemical Weapons Convention of 1993 comes into force.
- The British lease of the New Territories in Hong Kong expires.
- Diana, Princess of Wales, dies in a car crash in Paris.
- Hong Kong begins slaughtering chickens to prevent bird flu.
Data Source & Citation
Raw data for these calculations comes from the European Commission and the European Central Bank's Harmonized Index of Consumer prices (HICP), which is computed based on the reported consumer price indices in member countries of the European Union.
You may use the following MLA citation for this page: “Inflation Rate in 1998 | Euro Inflation Calculator.” Official Inflation Data, Alioth Finance, 1 Dec. 2020, https://www.officialdata.org/Euro-inflation-rate-in-1998.
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 | 1.23% |
| Converted amount (€1 base) | €1.01 |
| Price difference (€1 base) | €0.01 |
| CPI in 1997 | 72.555 |
| CPI in 1998 | 73.445 |
| Inflation in 1997 | 1.70% |
| Inflation in 1998 | 1.23% |