$100 in 2001 is worth $122 in 2008,
because prices increased 21.6% over that period, an average of
2.83% a year.
$100 in 2001 has
the same buying power as
$122
in 2008
Detailed inflation statistics
Cumulative price change
21.6%
Average inflation rate
2.83% per year
Converted amount ($100 base)
$122
Price difference ($100 base)
$21.57
CPI in 2001
177.1
CPI in 2008
215.303
Inflation in 2001
2.85%
Inflation in 2008
3.84%
$100 in 2001 → 2008
$122
$100 in 2008 → 2001
$82.26
What happened to prices between 2001 and 2008
Between 2001 and 2008, the Consumer Price Index went from 177.1 to 215.303.
Cumulatively, prices increased 21.6%, which works out to an average of
2.83% per year. Put differently, a dollar in 2001 bought what
$0.82 buys in 2008: the 2001 dollar
lost 17.7% of its purchasing power over
these 7 years.
Inflation fell to 2.8% in 2001 from 3.4% the year before, as a recession that began in March
cut demand and gasoline slid to an average of $1.46 a gallon. The median household earned about
$42,200, roughly flat from 2000, and a new home cost about $175,200. The Federal Reserve cut its
policy rate 11 times over the year, from 6.5% to 1.75%, the lowest since 1961. After the
September 11 attacks, U.S. stock markets closed for four trading days, and air travel dropped
sharply until the following year. Congress had already passed a $1.35 trillion tax cut in June,
which included rebate checks of up to $600. The National Bureau of Economic Research dates the
recession’s end at November, but unemployment kept rising into 2003. A first-class stamp went to
34 cents in January, and the federal minimum wage stayed at $5.15. The Fed’s cuts were the
first step in a long period of very cheap borrowing that would fuel the housing boom.
Every 2001 amount converts to 2008 at the same ratio, 1.22: $1,000 becomes
$1,216, and $10,000 becomes $12,157.
Amount in 2001
Value in 2008
$1.00
$1.22
$5.00
$6.08
$10.00
$12.16
$20.00
$24.31
$50.00
$60.79
$100
$122
$500
$608
$1,000
$1,216
$5,000
$6,079
$10,000
$12,157
$100,000
$121,571
$1,000,000
$1,215,714
Inflation by spending category, 2001–2008
Between 2001 and 2008, energy rose the most, up 83.0%, while apparel fell 6.6%, against 21.6% for all items. The headline number is an average; here is what $100 of 2001
spending costs in 2008, by category:
Category
Avg. yearly inflation
$100 in 2001 →
All items (CPI-U)
2.83%
$122
Energy
9.02%
$183
Medical care
4.21%
$133
Transportation
3.44%
$127
Food
3.08%
$124
Housing
2.95%
$123
Education & communication
2.33%
$118
Core (all items less food & energy)
2.12%
$116
Recreation
1.10%
$108
Apparel
-0.97%
$93.41
Year by year: CPI and the value of $100 from 2001
$100 from 2001 had already become $107 by
2004, on its way to $122 in 2008; each row shows the CPI, that
year's inflation rate, and the running value.
Within the span, inflation peaked at 3.8% in 2008, and the smallest rise was 1.6% in 2002.
In 2008, prices rose 3.8% and $100 from 2001 had the buying
power of $122; the year's average CPI of 215.303 is the level
behind every 2008 figure on this page.
Inflation averaged 3.8% in 2008, but that figure hides a swing. The 12-month rate reached 5.6% in
July, when oil hit $147 a barrel and gasoline passed $4 a gallon, then fell to 0.1% by December
as crude dropped near $40. For the year, gas averaged $3.27, the highest yet. The financial
system broke in the fall: Lehman Brothers filed for bankruptcy on September 15, Congress
created the $700 billion TARP bank rescue on October 3, and the Federal Reserve cut its policy
rate to a range of 0–0.25% in December. The median household earned about $50,300, barely
above 2007, and the median new home price fell to $232,100. The minimum wage rose to $6.55 in
July, and a first-class stamp cost 42 cents. The price collapse at the end of 2008 set up the
deflation of 2009.
MLA: “Inflation from 2001 to 2008: $100 is worth $122 today.” InflationCalculator.com, U.S. Bureau of Labor Statistics CPI-U data, https://inflationcalculator.com/inflation/2001-to-2008/
APA: InflationCalculator.com. Inflation from 2001 to 2008. Based on U.S. Bureau of Labor Statistics CPI-U data. Retrieved from https://inflationcalculator.com/inflation/2001-to-2008/