$100 in 1987 is worth $205 in 2013,
because prices increased 105.1% over that period, an average of
2.80% a year.
$100 in 1987 has
the same buying power as
$205
in 2013
Detailed inflation statistics
Cumulative price change
105.1%
Average inflation rate
2.80% per year
Converted amount ($100 base)
$205
Price difference ($100 base)
$105
CPI in 1987
113.6
CPI in 2013
232.957
Inflation in 1987
3.65%
Inflation in 2013
1.46%
$100 in 1987 → 2013
$205
$100 in 2013 → 1987
$48.76
What happened to prices between 1987 and 2013
Between 1987 and 2013, the Consumer Price Index went from 113.6 to 232.957.
Cumulatively, prices increased 105.1%, which works out to an average of
2.80% per year. Put differently, a dollar in 1987 bought what
$0.49 buys in 2013: the 1987 dollar
lost 51.2% of its purchasing power over
these 26 years.
1987 tested whether the disinflation of the 1980s could survive its first
real shock. Paul Volcker, who had run the Federal Reserve since 1979 and
driven inflation down from 13.5% to routine mid-single digits, handed the
chairmanship to Alan Greenspan in August. Inflation for the year came in at
3.6%, edging up as the expansion entered its fifth year and a weaker
dollar, following 1985’s Plaza Accord, pushed up the price of imported
goods. Then, on October 19, the stock market delivered Greenspan’s first
crisis: the Dow Jones Industrial Average fell 22.6% in a single session,
still the largest one-day percentage drop in its history, as computer-driven
“portfolio insurance” trading amplified a global sell-off that had started
days earlier. The Fed responded within 24 hours, publicly pledging to
supply whatever liquidity the banking system needed, and the panic did not
spread to the broader economy. Growth continued and unemployment kept
falling through the rest of the year. It was an early demonstration of what
became known as the “Greenspan put,” a Fed willing to move fast and loosen
policy to contain financial shocks even while still watching inflation,
that shaped central banking for the next two decades.
Every 1987 amount converts to 2013 at the same ratio, 2.05: $1,000 becomes
$2,051, and $10,000 becomes $20,507.
Amount in 1987
Value in 2013
$1.00
$2.05
$5.00
$10.25
$10.00
$20.51
$20.00
$41.01
$50.00
$103
$100
$205
$500
$1,025
$1,000
$2,051
$5,000
$10,253
$10,000
$20,507
$100,000
$205,068
$1,000,000
$2,050,678
Inflation by spending category, 1987–2013
Between 1987 and 2013, medical care rose the most, up 226.8%, while apparel rose the least, up 15.2%, against 105.1% for all items. The headline number is an average; here is what $100 of 1987
spending costs in 2013, by category:
Category
Avg. yearly inflation
$100 in 1987 →
All items (CPI-U)
2.80%
$205
Medical care
4.66%
$327
Energy
3.98%
$276
Food
2.87%
$209
Transportation
2.82%
$206
Housing
2.68%
$199
Core (all items less food & energy)
2.66%
$198
Apparel
0.55%
$115
Not shown because the BLS began these indexes after 1987: recreation (1993–), education & communication (1993–).
Decade by decade: 1987 to 2013
Prices climbed fastest in the 1980s, averaging 4.78% a year, and slowest in the 2010s (2.23% a year). Each step below chains into the full 1987–2013 change:
Years
Avg. yearly inflation
Price change
$100 from 1987, at end
1987–1990
4.78%
15.1%
$115
1990–2000
2.80%
31.8%
$152
2000–2010
2.39%
26.6%
$192
2010–2013
2.23%
6.8%
$205
Year by year: CPI and the value of $100 from 1987
$100 from 1987 had already become $152 by
2000, on its way to $205 in 2013; each row shows the CPI, that
year's inflation rate, and the running value.
Within the span, inflation peaked at 5.4% in 1990, and prices fell 0.4% in 2009, the deepest deflation of the period.
In 2013, prices rose 1.5% and $100 from 1987 had the buying
power of $205; the year's average CPI of 232.957 is the level
behind every 2013 figure on this page.
2013 was a low-inflation year with a lot of noise around the Federal Reserve.
Consumer prices rose 1.5%, below the Fed’s 2% target, and gasoline eased to an
average of $3.51 a gallon. Housing was the exception: the median new home sold
for about $268,900, up sharply from $245,200 in 2012, as the market recovered
from its post-crisis bottom.
The Fed dominated the news. Chairman Ben Bernanke’s May comments about slowing
bond purchases pushed long-term interest rates up by roughly a percentage
point that summer, and mortgages became more expensive within weeks. In
December the Fed finally announced a first small cut to its purchases while
promising to keep short-term rates near zero for a long time.
Washington added its own disruption. A 16-day government shutdown in October
delayed data releases and left a hole in that month’s CPI collection. Median
household income was reported at $53,585, the federal minimum wage stayed at
$7.25, and a first-class stamp cost 46 cents. The decade’s pattern was taking
shape: slow price growth, ultra-low interest rates, and a labor market that
improved gradually.
MLA: “Inflation from 1987 to 2013: $100 is worth $205 today.” InflationCalculator.com, U.S. Bureau of Labor Statistics CPI-U data, https://inflationcalculator.com/inflation/1987-to-2013/
APA: InflationCalculator.com. Inflation from 1987 to 2013. Based on U.S. Bureau of Labor Statistics CPI-U data. Retrieved from https://inflationcalculator.com/inflation/1987-to-2013/