$1 in 1980 is worth $0.88 in 1979

Value of $1 from 1980 to 1979

$1 in 1980 is equivalent in purchasing power to about $0.88 in 1979. The dollar had an average inflation rate of 13.50% per year between 1979 and 1980, producing a cumulative price increase of -11.89%.

This means that prices in 1979 are 11.89% lower than average prices since 1980, according to the Bureau of Labor Statistics consumer price index.

The inflation rate in 1979 was 11.35%. The inflation rate in 1980 was 13.50%. The 1980 inflation rate is higher compared to the average inflation rate of 3.06% per year between 1980 and 2024.


Inflation from 1980 to 1979
Average inflation rate13.50%
Converted amount
$1 base
$0.88
Price difference
$1 base
$-0.12
CPI in 198082.400
CPI in 197972.600
Inflation in 197911.35%
Inflation in 198013.50%
$1 in 1980$0.88 in 1979

Recent USD inflation
Annual Rate, the Bureau of Labor Statistics CPI
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Inflation by City

Inflation can vary widely by city, even within the United States. Here's how some cities fared in 1980 to 1979 (figures shown are purchasing power equivalents of $1):

Dallas-Fort Worth, Texas experienced the highest rate of inflation during the 1 years between 1979 and 1980 (16.95%).

New York experienced the lowest rate of inflation during the 1 years between 1979 and 1980 (11.29%).

Note that some locations showing 0% inflation may have not yet reported latest data.


Inflation by Country

Inflation can also vary widely by country. For comparison, in the UK £1.00 in 1980 would be equivalent to £0.85 in 1979, an absolute change of £-0.15 and a cumulative change of -15.24%.

In Canada, CA$1.00 in 1980 would be equivalent to CA$0.91 in 1979, an absolute change of CA$-0.09 and a cumulative change of -9.20%.

Compare these numbers to the US's overall absolute change of $-0.12 and total percent change of -11.89%.


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.

Between 1979 and 1980:

This chart shows the average rate of inflation for select CPI categories between 1980 and 1979.

Compare these values to the overall average of 13.50% per year:

CategoryAvg Inflation (%)Total Inflation (%)$1 in 1979 → 1980
Food and beverages8.568.561.09
Housing15.7015.701.16
Apparel7.077.071.07
Transportation17.8117.811.18
Medical care10.9510.951.11
Recreation0.000.001.00
Education and communication0.000.001.00
Other goods and services9.059.051.09

For all these visualizations, it's important to note that not all categories may have been tracked since 1980. This table and charts use the earliest available data for each category.



How to calculate inflation rate for $1, 1979 to 1980

Our calculations use the following inflation rate formula to calculate the change in value between 1979 and 1980:

CPI in 1979 CPI in 1980
×
1980 USD value
=
1979 USD value

Then plug in historical CPI values. The U.S. CPI was 82.4 in the year 1980 and 72.6 in 1979:

72.682.4
×
$1
=
$0.88

$1 in 1980 has the same "purchasing power" or "buying power" as $0.88 in 1979.

To get the total inflation rate for the 1 years between 1979 and 1980, we use the following formula:

CPI in 1979 - CPI in 1980CPI in 1980
×
100
=
Cumulative inflation rate (1 years)

Plugging in the values to this equation, we get:

72.6 - 82.482.4
×
100
=
-12%

Alternate Measurements of Inflation

There are multiple ways to measure inflation. Published rates of inflation will vary depending on methodology. The Consumer Price Index, used above, is the most common standard used globally.

Alternative measurements are sometimes used based on context and economic/political circumstances. Below are a few examples of alternative measurements.

Personal Consumption Expenditures (PCE) Inflation

The PCE Price Index is the U.S. Federal Reserve's preferred measure of inflation, compiled by the Bureau of Economic Analysis. It measures the change in prices of goods and services purchased by consumers.

The PCE Price Index changed by 10.77% per year on average between 1980 and 1979. The total PCE inflation between these dates was 10.77%. In 1980, PCE inflation was 8.88%.

This means that the PCE Index equates $1 in 1980 with $1.11 in 1979, a difference of $0.11. Compare this to the standard CPI measurement, which equates $1 with $0.88. The PCE measured 22.66% inflation compared to standard CPI.

For more information on the difference between PCE and CPI, see this analysis provided by the Bureau of Labor Statistics.

Core Inflation

Also of note is the Core CPI, which uses the standard CPI but omits the more volatile categories of food and energy.

Core inflation averaged 12.42% per year between 1980 and 1979 (vs all-CPI inflation of 13.50%), for an inflation total of 12.42%. In 1980, core inflation was 9.74%.

When using the core inflation measurement, $1 in 1980 is equivalent in buying power to $1.12 in 1979, a difference of $0.12. Recall that the converted amount is $0.88 when all items including food and energy are measured.


Data source & citation

Raw data for these calculations comes from the Bureau of Labor Statistics' (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: “$1 in 1980 → 1979 | Inflation Calculator.” Official Inflation Data, Alioth Finance, 26 Mar. 2024, https://www.officialdata.org/us/inflation/1980?amount=1&endYear=1979.

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.


Ian Webster

About the author

Ian Webster is an engineer and data expert based in San Mateo, California. He has worked for Google, NASA, and consulted for governments around the world on data pipelines and data analysis. Disappointed by the lack of clear resources on the impacts of inflation on economic indicators, Ian believes this website serves as a valuable public tool. Ian earned his degree in Computer Science from Dartmouth College.

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Inflation from 1980 to 1979
Average inflation rate13.50%
Converted amount
$1 base
$0.88
Price difference
$1 base
$-0.12
CPI in 198082.400
CPI in 197972.600
Inflation in 197911.35%
Inflation in 198013.50%
$1 in 1980$0.88 in 1979