$100 in 1994 is worth $103 in 1995,
because prices increased 2.8% over that period, an average of
2.83% a year.
$100 in 1994 has
the same buying power as
$103
in 1995
Detailed inflation statistics
Cumulative price change
2.8%
Average inflation rate
2.83% per year
Converted amount ($100 base)
$103
Price difference ($100 base)
$2.83
CPI in 1994
148.2
CPI in 1995
152.4
Inflation in 1994
2.56%
Inflation in 1995
2.83%
$100 in 1994 → 1995
$103
$100 in 1995 → 1994
$97.24
What happened to prices between 1994 and 1995
Between 1994 and 1995, the Consumer Price Index went from 148.2 to 152.4.
Cumulatively, prices increased 2.8%, which works out to an average of
2.83% per year. Put differently, a dollar in 1994 bought what
$0.97 buys in 1995: the 1994 dollar
lost 2.8% of its purchasing power over
these 1 years.
Gas averaged $1.11 a gallon in 1994, a new home cost roughly $130,000, and the median household
earned about $32,300. Inflation ran at 2.6% for the year, the calmest reading since the
mid-1980s, even as the Federal Reserve spent the year raising interest rates precisely to keep
it that way. Chair Alan Greenspan’s Fed lifted the federal funds rate from 3% to 5.5% over six
moves, a preemptive tightening campaign meant to head off inflation before it built rather than
react to it after the fact. The bond market, unprepared for such a rapid climb, sold off
sharply, and the higher rates rippled into places few had expected: Orange County, California,
whose investment pool had bet heavily on rates staying low, filed for bankruptcy in December
after losing an estimated $1.7 billion, the largest municipal bankruptcy in the country’s
history at the time. On the trade front, NAFTA took effect January 1, phasing out tariffs on
thousands of goods moving between the U.S., Mexico, and Canada, the start of a schedule that
would eliminate most remaining barriers over the following decade. It was a year that showed
inflation control could have its own costs, paid out in the bond market and, in Orange County’s
case, a bankruptcy court.
Every 1994 amount converts to 1995 at the same ratio, 1.03: $1,000 becomes
$1,028, and $10,000 becomes $10,283.
Amount in 1994
Value in 1995
$1.00
$1.03
$5.00
$5.14
$10.00
$10.28
$20.00
$20.57
$50.00
$51.42
$100
$103
$500
$514
$1,000
$1,028
$5,000
$5,142
$10,000
$10,283
$100,000
$102,834
$1,000,000
$1,028,340
Inflation by spending category, 1994–1995
Between 1994 and 1995, medical care rose the most, up 4.5%, while apparel fell 1.0%, against 2.8% for all items. The headline number is an average; here is what $100 of 1994
spending costs in 1995, by category:
Category
Avg. yearly inflation
$100 in 1994 →
All items (CPI-U)
2.83%
$103
Medical care
4.50%
$105
Education & communication
3.83%
$104
Transportation
3.57%
$104
Core (all items less food & energy)
3.00%
$103
Food
2.84%
$103
Housing
2.56%
$103
Recreation
1.94%
$102
Energy
0.57%
$101
Apparel
-1.05%
$98.95
Year by year: CPI and the value of $100 from 1994
$100 from 1994grew to $103 by 1995; each row
shows the CPI, that year's inflation rate, and the running value.
In 1995, prices rose 2.8% and $100 from 1994 had the buying
power of $103; the year's average CPI of 152.4 is the level
behind every 1995 figure on this page.
In 1995, gas averaged $1.15 a gallon, a new home cost roughly $133,900, and the median household
earned about $34,100. Inflation ran at 2.8% for the year, little changed from 1994, as the
Federal Reserve shifted from raising rates to cutting them. Having lifted its policy rate six
times the year before, the Fed judged by July that the economy had cooled enough on its own, and
trimmed rates instead, an outcome economists would later point to as a rare soft landing. The
year opened with a currency crisis: Mexico’s peso lost roughly half its value against the dollar
in a matter of weeks, and the U.S. Treasury and the IMF assembled a $50 billion rescue package,
controversial in Congress, to stabilize it and keep the crisis from spreading to other emerging
markets. Closer to home, a budget standoff between President Clinton and the Republican Congress
shut down federal agencies twice, first for five days in November and then for 21 days spanning
December into January 1996, the longest shutdown up to that point. The Postal Service raised the
cost of a first-class stamp to 32 cents in January. Low, steady inflation was about the only calm
part of 1995’s economic story.
MLA: “Inflation from 1994 to 1995: $100 is worth $103 today.” InflationCalculator.com, U.S. Bureau of Labor Statistics CPI-U data, https://inflationcalculator.com/inflation/1994-to-1995/
APA: InflationCalculator.com. Inflation from 1994 to 1995. Based on U.S. Bureau of Labor Statistics CPI-U data. Retrieved from https://inflationcalculator.com/inflation/1994-to-1995/