U.S. inflation · 1925–1985

Value of $100 in 1925, adjusted to 1985

$100 in 1925 is worth $615 in 1985, because prices increased 514.9% over that period, an average of 3.07% a year.

$100 in 1925 has the same buying power as

$615

in 1985

$74$345$61519251940195519701985$100 · 1925$615 · 1985
Detailed inflation statistics
Cumulative price change514.9%
Average inflation rate3.07% per year
Converted amount ($100 base)$615
Price difference ($100 base)$515
CPI in 192517.5
CPI in 1985107.6
Inflation in 19252.34%
Inflation in 19853.56%
$100 in 1925 → 1985$615
$100 in 1985 → 1925$16.26

What happened to prices between 1925 and 1985

Between 1925 and 1985, the Consumer Price Index went from 17.5 to 107.6. Cumulatively, prices increased 514.9%, which works out to an average of 3.07% per year. Put differently, a dollar in 1925 bought what $0.16 buys in 1985: the 1925 dollar lost 83.7% of its purchasing power over these 60 years.

Consumer prices rose 2.3% in 1925, the CPI’s largest single-year increase since the deflationary swings of the early 1920s, though still mild next to the double-digit inflation of the World War I years. The country’s cultural fault lines were on full display that summer in Dayton, Tennessee, where high school teacher John Scopes was tried July 10-21 for violating a state law against teaching evolution, a case that drew national press coverage and pitted prosecutor William Jennings Bryan against defense attorney Clarence Darrow. Real estate speculation, meanwhile, peaked in Florida, where buyers flipped undeveloped land in the Miami area on thin down payments, driving prices far above what the land itself could support; the bubble would collapse the following year. Detroit reshuffled that June too: Walter Chrysler reorganized the struggling Maxwell Motor Company into Chrysler Corporation, the start of what would become one of the American auto industry’s “Big Three.” First-class postage held at 2 cents for the sixth straight year.

More about inflation in 1925 →

Common amounts: 1925 dollars in 1985

Every 1925 amount converts to 1985 at the same ratio, 6.15: $1,000 becomes $6,149, and $10,000 becomes $61,486.

Amount in 1925Value in 1985
$1.00$6.15
$5.00$30.74
$10.00$61.49
$20.00$123
$50.00$307
$100$615
$500$3,074
$1,000$6,149
$5,000$30,743
$10,000$61,486
$100,000$614,857
$1,000,000$6,148,571

Inflation by spending category, 1925–1985

Between 1925 and 1985, food rose the most, up 540.0%, while apparel rose the least, up 299.2%, against 514.9% for all items. The headline number is an average; here is what $100 of 1925 spending costs in 1985, by category:

Category Avg. yearly inflation $100 in 1925 →
All items (CPI-U) 3.07% $615
Food 3.14% $640
Apparel 2.33% $399

Not shown because the BLS began these indexes after 1925: core (all items less food & energy) (1957–), energy (1957–), housing (1967–), medical care (1935–), transportation (1935–), recreation (1993–), education & communication (1993–).

Decade by decade: 1925 to 1985

Prices climbed fastest in the 1970s, averaging 7.82% a year, and fell in the 1930s (1.7% a year). Each step below chains into the full 1925–1985 change:

Years Avg. yearly inflation Price change $100 from 1925, at end
1925–1930 -0.93% -4.6% $95.43
1930–1940 -1.75% -16.2% $80.00
1940–1950 5.58% 72.1% $138
1950–1960 2.08% 22.8% $169
1960–1970 2.74% 31.1% $222
1970–1980 7.82% 112.4% $471
1980–1985 5.48% 30.6% $615

Year by year: CPI and the value of $100 from 1925

$100 from 1925 had already become $153 by 1955, on its way to $615 in 1985; each row shows the CPI, that year's inflation rate, and the running value. Within the span, inflation peaked at 14.4% in 1947, and prices fell 9.9% in 1932, the deepest deflation of the period.

Year CPI Inflation rate $100 from 1925
1925 17.5 2.3% $100
1927 17.4 -1.7% $99.43
1929 17.1 0.0% $97.71
1931 15.2 -9.0% $86.86
1933 13 -5.1% $74.29
1935 13.7 2.2% $78.29
1937 14.4 3.6% $82.29
1939 13.9 -1.4% $79.43
1941 14.7 5.0% $84.00
1943 17.3 6.1% $98.86
1945 18 2.3% $103
1947 22.3 14.4% $127
1949 23.8 -1.2% $136
1951 26 7.9% $149
1953 26.7 0.8% $153
1955 26.8 -0.4% $153
1957 28.1 3.3% $161
1959 29.1 0.7% $166
1961 29.9 1.0% $171
1963 30.6 1.3% $175
1965 31.5 1.6% $180
1967 33.4 3.1% $191
1969 36.7 5.5% $210
1971 40.5 4.4% $231
1973 44.4 6.2% $254
1975 53.8 9.1% $307
1977 60.6 6.5% $346
1979 72.6 11.3% $415
1981 90.9 10.3% $519
1983 99.6 3.2% $569
1985 107.6 3.6% $615

Long periods are sampled every 2 years; the calculator above covers any pair of years.

The destination year: 1985

In 1985, prices rose 3.6% and $100 from 1925 had the buying power of $615; the year's average CPI of 107.6 is the level behind every 1985 figure on this page.

By 1985, low inflation had become the norm rather than the exception. Consumer prices rose 3.6% for the year, the fourth straight year in the 3-6% range following the double-digit spikes of 1980 and 1981, proof that the disinflation had held rather than merely paused, as it had after previous recessions. Overseas, the dollar had become a problem of its own: years of high U.S. interest rates had pulled in foreign capital and pushed the dollar’s value up so far that American exporters were losing business abroad, widening the trade deficit. In September, the finance ministers of the U.S., Japan, West Germany, France, and the United Kingdom met at New York’s Plaza Hotel and agreed to coordinate a managed decline of the dollar; it fell roughly 25% against major currencies over the following two years. At home, Congress responded to a federal deficit that had roughly tripled since 1980 by passing the Gramm-Rudman-Hollings Act in December, setting binding targets to shrink the deficit with automatic across-the-board cuts if lawmakers missed them. Households felt the calmer economy in small ways: first-class postage rose to 22 cents in February, its first increase since November 1981, after nearly four years at 20 cents.

More about inflation in 1985 →

Cite this page

MLA: “Inflation from 1925 to 1985: $100 is worth $615 today.” InflationCalculator.com, U.S. Bureau of Labor Statistics CPI-U data, https://inflationcalculator.com/inflation/1925-to-1985/

APA: InflationCalculator.com. Inflation from 1925 to 1985. Based on U.S. Bureau of Labor Statistics CPI-U data. Retrieved from https://inflationcalculator.com/inflation/1925-to-1985/

Source: U.S. Bureau of Labor Statistics, CPI-U annual averages (series CUUR0000SA0; category indexes listed on the data sources page). See how these numbers are calculated.