U.S. inflation · 1935–1986

Value of $100 in 1935, adjusted to 1986

$100 in 1935 is worth $800 in 1986, because prices increased 700.0% over that period, an average of 4.16% a year.

$100 in 1935 has the same buying power as

$800

in 1986

$100$450$80019351948196119731986$100 · 1935$800 · 1986
Detailed inflation statistics
Cumulative price change700.0%
Average inflation rate4.16% per year
Converted amount ($100 base)$800
Price difference ($100 base)$700
CPI in 193513.7
CPI in 1986109.6
Inflation in 19352.24%
Inflation in 19861.86%
$100 in 1935 → 1986$800
$100 in 1986 → 1935$12.50

What happened to prices between 1935 and 1986

Between 1935 and 1986, the Consumer Price Index went from 13.7 to 109.6. Cumulatively, prices increased 700.0%, which works out to an average of 4.16% per year. Put differently, a dollar in 1935 bought what $0.13 buys in 1986: the 1935 dollar lost 87.5% of its purchasing power over these 51 years.

Consumer prices rose 2.2% in 1935, a second straight annual increase after 1934’s turnaround, though the CPI still sat well below its 1929 peak and the recovery remained uneven and incomplete. The year’s biggest legislative achievements aimed at making that unevenness less punishing. Roosevelt signed the Social Security Act on August 14, creating federal old-age pensions and unemployment insurance funded by a new payroll tax, the first federal safety net of its kind in U.S. history. That spring, the Works Progress Administration had already begun putting millions of unemployed Americans to work on public construction, arts, and infrastructure projects, becoming the largest jobs program of the New Deal. Congress added labor protections to the mix that July with the National Labor Relations Act, guaranteeing most private-sector workers the right to organize and bargain collectively. The human cost of the Dust Bowl was still mounting on the Plains: the storm known as Black Sunday hit on April 14, one of the worst of the decade, and continued drought kept driving farm families off land that could no longer support them. Consumer prices ended the year 38.4% above their 1913 level. First-class postage held at 3 cents.

More about inflation in 1935 →

Common amounts: 1935 dollars in 1986

Every 1935 amount converts to 1986 at the same ratio, 8.00: $1,000 becomes $8,000, and $10,000 becomes $80,000.

Amount in 1935Value in 1986
$1.00$8.00
$5.00$40.00
$10.00$80.00
$20.00$160
$50.00$400
$100$800
$500$4,000
$1,000$8,000
$5,000$40,000
$10,000$80,000
$100,000$800,000
$1,000,000$8,000,000

Inflation by spending category, 1935–1986

Between 1935 and 1986, medical care rose the most, up 1096.1%, while apparel rose the least, up 409.1%, against 700.0% for all items. The headline number is an average; here is what $100 of 1935 spending costs in 1986, by category:

Category Avg. yearly inflation $100 in 1935 →
All items (CPI-U) 4.16% $800
Medical care 4.99% $1,196
Food 4.35% $879
Transportation 3.95% $720
Apparel 3.24% $509

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

Decade by decade: 1935 to 1986

Prices climbed fastest in the 1970s, averaging 7.82% a year, and slowest in the 1930s (0.43% a year). Each step below chains into the full 1935–1986 change:

Years Avg. yearly inflation Price change $100 from 1935, at end
1935–1940 0.43% 2.2% $102
1940–1950 5.58% 72.1% $176
1950–1960 2.08% 22.8% $216
1960–1970 2.74% 31.1% $283
1970–1980 7.82% 112.4% $601
1980–1986 4.87% 33.0% $800

Year by year: CPI and the value of $100 from 1935

$100 from 1935 had already become $218 by 1961, on its way to $800 in 1986; 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.

Year CPI Inflation rate $100 from 1935
1935 13.7 2.2% $100
1937 14.4 3.6% $105
1939 13.9 -1.4% $101
1941 14.7 5.0% $107
1943 17.3 6.1% $126
1945 18 2.3% $131
1947 22.3 14.4% $163
1949 23.8 -1.2% $174
1951 26 7.9% $190
1953 26.7 0.8% $195
1955 26.8 -0.4% $196
1957 28.1 3.3% $205
1959 29.1 0.7% $212
1961 29.9 1.0% $218
1963 30.6 1.3% $223
1965 31.5 1.6% $230
1967 33.4 3.1% $244
1969 36.7 5.5% $268
1971 40.5 4.4% $296
1973 44.4 6.2% $324
1975 53.8 9.1% $393
1977 60.6 6.5% $442
1979 72.6 11.3% $530
1981 90.9 10.3% $664
1983 99.6 3.2% $727
1985 107.6 3.6% $785
1986 109.6 1.9% $800

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

The destination year: 1986

In 1986, prices rose 1.9% and $100 from 1935 had the buying power of $800; the year's average CPI of 109.6 is the level behind every 1986 figure on this page.

1986 delivered the decade’s biggest one-year drop in inflation, and it came almost entirely from a single source: oil. Saudi Arabia abandoned its policy of restraining output to prop up prices, and world crude collapsed from about $27 a barrel to under $10 by midyear. Gasoline, which had averaged $1.12 a gallon in 1985, fell to 86 cents. With energy costs plunging, headline CPI inflation for the year came in at just 1.9%, the lowest annual rate since 1965 and a striking bookend to 1980’s 13.5% peak. The relief was uneven: prices for most goods and services outside energy kept rising at a moderate pace, so households that didn’t drive much or heat with oil felt less of the difference. In October, Congress passed the Tax Reform Act of 1986, a bipartisan overhaul that cut the top individual income tax rate from 50% to 28% while closing many deductions and shelters, the broadest rewrite of the federal tax code since World War II. Between cheap gas and falling interest rates, 1986 read like proof that the inflationary 1970s were a closed chapter, six years after the U.S. economy had felt anything but calm.

More about inflation in 1986 →

Cite this page

MLA: “Inflation from 1935 to 1986: $100 is worth $800 today.” InflationCalculator.com, U.S. Bureau of Labor Statistics CPI-U data, https://inflationcalculator.com/inflation/1935-to-1986/

APA: InflationCalculator.com. Inflation from 1935 to 1986. Based on U.S. Bureau of Labor Statistics CPI-U data. Retrieved from https://inflationcalculator.com/inflation/1935-to-1986/

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.