$100 in 1934 is worth $1,216 in 1998,
because prices increased 1116.4% over that period, an average of
3.98% a year.
$100 in 1934 has
the same buying power as
$1,216
in 1998
Detailed inflation statistics
Cumulative price change
1116.4%
Average inflation rate
3.98% per year
Converted amount ($100 base)
$1,216
Price difference ($100 base)
$1,116
CPI in 1934
13.4
CPI in 1998
163
Inflation in 1934
3.08%
Inflation in 1998
1.56%
$100 in 1934 → 1998
$1,216
$100 in 1998 → 1934
$8.22
What happened to prices between 1934 and 1998
Between 1934 and 1998, the Consumer Price Index went from 13.4 to 163.
Cumulatively, prices increased 1116.4%, which works out to an average of
3.98% per year. Put differently, a dollar in 1934 bought what
$0.08 buys in 1998: the 1934 dollar
lost 91.8% of its purchasing power over
these 64 years.
Consumer prices rose 3.1% in 1934, the first annual increase since 1926;
every year from 1927 through 1933 had been flat or falling,
so the turn marked a real break after eight years without a single gain.
Currency policy did some of the work. The Gold Reserve Act, signed January
30, formally devalued the dollar by raising the official price of gold from
$20.67 to $35 an ounce, part of the administration’s deliberate effort to
reflate prices after four straight years of deflation. Financial regulation
tightened at the same time: the Securities Exchange Act of June 6 created
the Securities and Exchange Commission to police stock exchanges and enforce
disclosure rules, a direct response to the speculation blamed for the 1929
crash. The recovery was fragile and unevenly felt, especially on the Great
Plains, where drought had turned overplowed farmland to dust. Over May 9-11,
high winds lifted an estimated 350 million tons of topsoil into the air,
darkening skies as far away as Washington and New York and giving city
readers who had never seen a wheat field a first glimpse of the disaster
building in Kansas, Oklahoma, and Texas. Consumer prices stood 35.4% above
their 1913 level, still well below the 1929 peak but rising
for the first time since the Depression began. First-class postage held at
3 cents.
Every 1934 amount converts to 1998 at the same ratio, 12.16: $1,000 becomes
$12,164, and $10,000 becomes $121,642.
Amount in 1934
Value in 1998
$1.00
$12.16
$5.00
$60.82
$10.00
$122
$20.00
$243
$50.00
$608
$100
$1,216
$500
$6,082
$1,000
$12,164
$5,000
$60,821
$10,000
$121,642
$100,000
$1,216,418
$1,000,000
$12,164,179
Inflation by spending category, 1934–1998
Between 1934 and 1998, food rose the most, up 1285.3%, while apparel rose the least, up 545.6%, against 1116.4% for all items. The headline number is an average; here is what $100 of 1934
spending costs in 1998, by category:
Category
Avg. yearly inflation
$100 in 1934 →
All items (CPI-U)
3.98%
$1,216
Food
4.19%
$1,385
Apparel
2.96%
$646
Not shown because the BLS began these indexes after 1934: core (all items less food & energy) (1957–), energy (1957–), housing (1967–), medical care (1935–), transportation (1935–), recreation (1993–), education & communication (1993–).
Decade by decade: 1934 to 1998
Prices climbed fastest in the 1970s, averaging 7.82% a year, and slowest in the 1930s (0.73% a year). Each step below chains into the full 1934–1998 change:
Years
Avg. yearly inflation
Price change
$100 from 1934, at end
1934–1940
0.73%
4.5%
$104
1940–1950
5.58%
72.1%
$180
1950–1960
2.08%
22.8%
$221
1960–1970
2.74%
31.1%
$290
1970–1980
7.82%
112.4%
$615
1980–1990
4.72%
58.6%
$975
1990–1998
2.80%
24.7%
$1,216
Year by year: CPI and the value of $100 from 1934
$100 from 1934 had already become $231 by
1964, on its way to $1,216 in 1998; 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 2.1% in 1938, the deepest deflation of the period.
Long periods are sampled every 5 years; the calculator above covers any pair of years.
The destination year: 1998
In 1998, prices rose 1.6% and $100 from 1934 had the buying
power of $1,216; the year's average CPI of 163 is the level
behind every 1998 figure on this page.
The median household earned about $38,900 in 1998, gas averaged just $1.06 a gallon, its
cheapest of the decade, and a new home cost roughly $152,500. Inflation ran at 1.6% for the
year, the lowest of the 1990s, as a glut of crude oil, worsened by weak demand from Asia’s
slowdown, pushed prices below $11 a barrel by December and pulled pump prices down with them.
The calm at home came alongside real turmoil abroad: in August, Russia devalued the ruble and
defaulted on its domestic debt, rattling markets already unsettled by the Asian financial
crisis, and in September the hedge fund Long-Term Capital Management collapsed after its highly
leveraged bets went bad, prompting the Federal Reserve to organize a private-sector bailout by
more than a dozen banks to prevent a disorderly unwinding of its roughly $100 billion in
positions. The Fed also cut interest rates three times that fall, in September, October, and
November, an insurance policy against the global financial turmoil spreading to the U.S.
economy. Cheap oil and a well-timed set of rate cuts left 1998 as a year the U.S. economy
absorbed two foreign financial crises without much of a dent at home.
MLA: “Inflation from 1934 to 1998: $100 is worth $1,216 today.” InflationCalculator.com, U.S. Bureau of Labor Statistics CPI-U data, https://inflationcalculator.com/inflation/1934-to-1998/
APA: InflationCalculator.com. Inflation from 1934 to 1998. Based on U.S. Bureau of Labor Statistics CPI-U data. Retrieved from https://inflationcalculator.com/inflation/1934-to-1998/