Inflation in 1742 and its effect on dollar value
$1 in 1741 is equivalent in purchasing power to about $0.89 in 1742. The dollar had an average deflation rate of -10.77% per year since 1741, producing a cumulative price change of -10.77%. Purchasing power increased by 10.77% in 1742 compared to 1741. On average, you would have to spend 10.77% less money in 1742 than in 1741 for the same item. This is an example of deflation.
This means that prices in 1742 are 10.77% lower than average prices since 1741, according to the Bureau of Labor Statistics consumer price index.
The inflation rate in 1741 was 66.67%. The inflation rate in 1742 was -10.77%. The 1742 inflation rate is lower compared to the average inflation rate of 1.42% per year between 1742 and 2024.
Inflation rate is calculated by change in the consumer price index (CPI). The CPI in 1742 was 5.80. It was 6.50 in the previous year, 1741. The difference in CPI between the years is used by the Bureau of Labor Statistics to officially determine inflation. Because the 1742 CPI is less than 1741 CPI, negative inflation (also known as deflation) has occurred.
⌃
| Average inflation rate | -10.77% |
| Converted amount $1 base | $0.89 |
| Price difference $1 base | $-0.11 |
| CPI in 1741 | 6.500 |
| CPI in 1742 | 5.800 |
| Inflation in 1741 | 66.67% |
| Inflation in 1742 | -10.77% |
| $1 in 1741 | $0.89 in 1742 |
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 1741 and 1742.
Compare these values to the overall average of -10.77% per year:
| Category | Avg Inflation (%) | Total Inflation (%) | $1 in 1741 → 1742 |
|---|---|---|---|
| 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 1741. This table and charts use the earliest available data for each category.
How to calculate inflation rate for $1, 1741 to 1742
Our calculations use the following inflation rate formula to calculate the change in value between 1741 and 1742:
CPI in 1742 CPI in 1741
×
1741 USD value
=
1742 USD value
Then plug in historical CPI values. The U.S. CPI was 6.5 in the year 1741 and 5.8 in 1742:
5.86.5
×
$1
=
$0.89
$1 in 1741 has the same "purchasing power" or "buying power" as $0.89 in 1742.
To get the total inflation rate for the 1 years between 1741 and 1742, we use the following formula:
CPI in 1742 - CPI in 1741CPI in 1741
×
100
=
Cumulative inflation rate (1 years)
Plugging in the values to this equation, we get:
5.8 - 6.56.5
×
100
=
-11%
Data source & citation
Raw data for these calculations comes from the Bureau of Labor Statistics' Consumer Price Index (CPI), established in 1913. Price index data from 1774 to 1912 is sourced from a historical study conducted by political science professor Robert Sahr at Oregon State University and from the American Antiquarian Society. Price index data from 1634 to 1773 is from the American Antiquarian Society, using British pound equivalents.
You may use the following MLA citation for this page: “Inflation Rate in 1742 | Inflation Calculator.” Official Inflation Data, Alioth Finance, 15 Apr. 2024, https://www.officialdata.org/inflation-rate-in-1742.
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 | -10.77% |
| Converted amount $1 base | $0.89 |
| Price difference $1 base | $-0.11 |
| CPI in 1741 | 6.500 |
| CPI in 1742 | 5.800 |
| Inflation in 1741 | 66.67% |
| Inflation in 1742 | -10.77% |
| $1 in 1741 | $0.89 in 1742 |