Inflation in 1701 and its effect on dollar value
Purchasing power decreased by 4.88% in 1701 compared to 1700. On average, you would have to spend 4.88% more money in 1701 than in 1700 for the same item.
In other words, $1 in 1700 is equivalent in purchasing power to about $1.05 in 1701.
The 1700 inflation rate was -2.38%. The inflation rate in 1701 was 4.88%. The 1701 inflation rate is higher compared to the average inflation rate of 1.29% per year between 1701 and 2020.
Inflation rate is calculated by change in the consumer price index (CPI). The CPI in 1701 was 4.30. It was 4.10 in the previous year, 1700. The difference in CPI between the years is used by the Bureau of Labor Statistics to officially determine inflation.
⌃
| Average inflation rate | 4.88% |
| Converted amount ($1 base) | $1.05 |
| Price difference ($1 base) | $0.05 |
| CPI in 1700 | 4.100 |
| CPI in 1701 | 4.300 |
| Inflation in 1700 | -2.38% |
| Inflation in 1701 | 4.88% |
Inflation by Spending Category
CPI is the weighted combination of many categories of spending that are tracked by the government. Breaking down these categories helps explain the main drivers behind price changes. This chart shows the average rate of inflation for select CPI categories between 1700 and 1701.
Compare these values to the overall average of 4.88% per year:
| Category | Avg Inflation (%) | Total Inflation (%) | $1 in 1700 → 1701 |
|---|---|---|---|
| Food and beverages | 0.00 | 0.00 | 1.00 |
| Housing | 0.00 | 0.00 | 1.00 |
| Apparel | 0.00 | 0.00 | 1.00 |
| Transportation | 0.00 | 0.00 | 1.00 |
| Medical care | 0.00 | 0.00 | 1.00 |
| Recreation | 0.00 | 0.00 | 1.00 |
| Education and communication | 0.00 | 0.00 | 1.00 |
| Other goods and services | 0.00 | 0.00 | 1.00 |
For all these visualizations, it's important to note that not all categories may have been tracked since 1700. This table and charts use the earliest available data for each category.
How to Calculate Inflation Rate for $1, 1700 to 1701
Our calculations use the following inflation rate formula to calculate the change in value between 1700 and 1701:
CPI in 1701
CPI in 1700
×
1700 USD value
=
1701 USD value
Then plug in historical CPI values. The U.S. CPI was 4.1 in the year 1700 and 4.3 in 1701:
4.34.1
×
$1
=
$1.05
$1 in 1700 has the same "purchasing power" or "buying power" as $1.05 in 1701.
To get the total inflation rate for the 1 years between 1700 and 1701, we use the following formula:
CPI in 1701 - CPI in 1700CPI in 1700
×
100
=
Cumulative inflation rate (1 years)
Plugging in the values to this equation, we get:
4.3 - 4.14.1
×
100
=
5%
News headlines from 1700
Politics and news often influence economic performance. Here's what was happening at the time:
- Russia, Denmark-Norway and Saxony declare war against the Swedish Empire, the conflict is later known as the Great Northern War.
- Denmark stops using the Julian calendar.
- The Pacific Island of New Britain is discovered.
Data Source & Citation
Raw data for these calculations comes from the Bureau of Labor Statistics' Consumer Price Index (CPI), established in 1913. Inflation data from 1665 to 1912 is sourced from a historical study conducted by political science professor Robert Sahr at Oregon State University.
You may use the following MLA citation for this page: “Inflation Rate in 1701 | Inflation Calculator.” Official Inflation Data, Alioth Finance, 9 Jul. 2020, https://www.officialdata.org/inflation-rate-in-1701.
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 | 4.88% |
| Converted amount ($1 base) | $1.05 |
| Price difference ($1 base) | $0.05 |
| CPI in 1700 | 4.100 |
| CPI in 1701 | 4.300 |
| Inflation in 1700 | -2.38% |
| Inflation in 1701 | 4.88% |