$100 in 1921 is worth $97.21 in 1927,
because prices declined 2.8% over that period, an average of
0.47% a year.
$100 in 1921 has
the same buying power as
$97.21
in 1927
Detailed inflation statistics
Cumulative price change
-2.8%
Average inflation rate
-0.47% per year
Converted amount ($100 base)
$97.21
Price difference ($100 base)
-$2.79
CPI in 1921
17.9
CPI in 1927
17.4
Inflation in 1921
-10.50%
Inflation in 1927
-1.69%
$100 in 1921 → 1927
$97.21
$100 in 1927 → 1921
$103
What happened to prices between 1921 and 1927
Between 1921 and 1927, the Consumer Price Index went from 17.9 to 17.4.
Cumulatively, prices declined 2.8%, which works out to an average of
-0.47% per year. Put differently, a dollar in 1921 bought what
$1.03 buys in 1927: the 1921 dollar
gained 2.9% in purchasing power over
these 6 years.
Consumer prices fell 10.5% in 1921, the mirror image of the wartime
inflation that had more than doubled the cost of living between
1913 and 1920. The Depression of 1920-21, one
of the sharpest contractions in U.S. history, bottomed out that July
according to the National Bureau of Economic Research, even though it had
lasted barely eighteen months. Unemployment climbed toward one worker in ten
as businesses cut production and prices to work through wartime inventories,
but the same collapse in prices also meant the recovery, once it started,
had room to run without reigniting inflation. Warren Harding took office
March 4, promising a return to “normalcy” after a decade of war, pandemic,
labor unrest, and rapid price swings; his administration moved quickly to
cut top income tax rates and federal spending. Congress also acted on
immigration that year: the Emergency Quota Act, signed May 19, capped annual
arrivals from each country at 3% of that nationality’s population in the
1910 census, the first time the United States had set a numerical ceiling on
immigration. The law favored northern and western Europe and cut total
immigration by more than half compared with prewar levels; Congress
tightened the formula again in 1924. First-class postage held at 2 cents,
unchanged since mid-1919.
Every 1921 amount converts to 1927 at the same ratio, 0.97: $1,000 becomes
$972, and $10,000 becomes $9,721.
Amount in 1921
Value in 1927
$1.00
$0.97
$5.00
$4.86
$10.00
$9.72
$20.00
$19.44
$50.00
$48.60
$100
$97.21
$500
$486
$1,000
$972
$5,000
$4,860
$10,000
$9,721
$100,000
$97,207
$1,000,000
$972,067
Inflation by spending category, 1921–1927
Between 1921 and 1927, food rose the most, up 3.1%, while apparel fell 23.8%, against 2.8% for all items. The headline number is an average; here is what $100 of 1921
spending costs in 1927, by category:
Category
Avg. yearly inflation
$100 in 1921 →
All items (CPI-U)
-0.47%
$97.21
Food
0.52%
$103
Apparel
-4.43%
$76.20
Not shown because the BLS began these indexes after 1921: core (all items less food & energy) (1957–), energy (1957–), housing (1967–), medical care (1935–), transportation (1935–), recreation (1993–), education & communication (1993–).
Year by year: CPI and the value of $100 from 1921
$100 from 1921 had already become $95.53 by
1924, on its way to $97.21 in 1927; each row shows the CPI, that
year's inflation rate, and the running value.
Within the span, inflation peaked at 2.3% in 1925, and prices fell 6.1% in 1922, the deepest deflation of the period.
In 1927, prices fell 1.7% and $100 from 1921 had the buying
power of $97.21; the year's average CPI of 17.4 is the level
behind every 1927 figure on this page.
Consumer prices fell 1.7% in 1927, a mild retreat after three years of
gradual increases and part of a shallow up-and-down pattern that ran through
the second half of the decade. Aviation delivered the year’s signature
moment: Charles Lindbergh departed Roosevelt Field, New York, on May 20 and
landed at Le Bourget Field outside Paris roughly 33.5 hours later, the first
person to fly the Atlantic solo and nonstop. Detroit closed a chapter of its
own that May, when Ford halted the Model T’s production line after nearly 19
years and more than 15 million cars sold, idling tens of thousands of
workers while its factories retooled for the Model A. The Federal Reserve,
meeting with European central bankers that summer, cut its discount rate to
ease pressure on currencies still recovering from the war, a move later
cited by economists including Milton Friedman and Anna Schwartz as fuel for
the stock market speculation that built through the following two years.
First-class postage held at 2 cents.
MLA: “Inflation from 1921 to 1927: $100 is worth $97.21 today.” InflationCalculator.com, U.S. Bureau of Labor Statistics CPI-U data, https://inflationcalculator.com/inflation/1921-to-1927/
APA: InflationCalculator.com. Inflation from 1921 to 1927. Based on U.S. Bureau of Labor Statistics CPI-U data. Retrieved from https://inflationcalculator.com/inflation/1921-to-1927/