U.S. inflation · 1985–1990
$100 in 1985 has the same buying power as
$121
in 1990
| Cumulative price change | 21.5% |
|---|---|
| Average inflation rate | 3.97% per year |
| Converted amount ($100 base) | $121 |
| Price difference ($100 base) | $21.47 |
| CPI in 1985 | 107.6 |
| CPI in 1990 | 130.7 |
| Inflation in 1985 | 3.56% |
| Inflation in 1990 | 5.40% |
| $100 in 1985 → 1990 | $121 |
| $100 in 1990 → 1985 | $82.33 |
Between 1985 and 1990, the Consumer Price Index went from 107.6 to 130.7. Cumulatively, prices increased 21.5%, which works out to an average of 3.97% per year. Put differently, a dollar in 1985 bought what $0.82 buys in 1990.
| Amount in 1985 | Value in 1990 |
|---|---|
| $1.00 | $1.21 |
| $5.00 | $6.07 |
| $10.00 | $12.15 |
| $20.00 | $24.29 |
| $50.00 | $60.73 |
| $100 | $121 |
| $500 | $607 |
| $1,000 | $1,215 |
| $5,000 | $6,073 |
| $10,000 | $12,147 |
| $100,000 | $121,468 |
| $1,000,000 | $1,214,684 |
The headline number is an average. Individual categories moved very differently over this period. Here is what $100 of 1985 spending costs in 1990, by category:
| Category | Avg. yearly inflation | $100 in 1985 → |
|---|---|---|
| All items (CPI-U) | 3.97% | $121 |
| Medical care | 7.48% | $143 |
| Food | 4.63% | $125 |
| Core (all items less food & energy) | 4.43% | $124 |
| Housing | 3.59% | $119 |
| Apparel | 3.40% | $118 |
| Transportation | 2.52% | $113 |
| Energy | 0.10% | $100 |
Not shown because the BLS began these indexes after 1985: recreation (1993–), education & communication (1993–).
| Year | CPI | Inflation rate | $100 from 1985 |
|---|---|---|---|
| 1985 | 107.6 | 3.6% | $100 |
| 1986 | 109.6 | 1.9% | $102 |
| 1987 | 113.6 | 3.6% | $106 |
| 1988 | 118.3 | 4.1% | $110 |
| 1989 | 124 | 4.8% | $115 |
| 1990 | 130.7 | 5.4% | $121 |
In 1990, the median U.S. household earned about $29,900, gas averaged $1.15 a gallon, and mailing a letter cost a quarter. Inflation ran hot at 5.4% for the year, its highest rate since 1982, pushed up by an oil shock after Iraq’s invasion of Kuwait, and the economy tipped into recession that summer. It was the last gasp of elevated inflation before the long calm of the 1990s.
MLA: “Inflation from 1985 to 1990: $100 is worth $121 today.” InflationCalculator.com, U.S. Bureau of Labor Statistics CPI-U data, https://inflationcalculator.com/inflation/1985-to-1990/
APA: InflationCalculator.com. Inflation from 1985 to 1990. Based on U.S. Bureau of Labor Statistics CPI-U data. Retrieved from https://inflationcalculator.com/inflation/1985-to-1990/
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.