1992 was the year the recovery finally showed up in the numbers, if not yet in hiring. The median household earned about $30,600, gas averaged $1.13 a gallon, and a new home cost roughly $121,500. Inflation ran at 3.0% for the year, its calmest reading since the mid-1980s, as energy prices stayed well below their 1990 peak and a slack labor market kept a lid on wages and prices alike. The Federal Reserve kept cutting its policy rate through the year, reaching about 3% by September, the lowest in decades, trying to jump-start hiring more than a year after the 1990-91 recession officially ended. The sluggish job market became the defining issue of the November election, and Bill Clinton unseated incumbent George H.W. Bush, whose approval ratings had fallen sharply from their post-Gulf War highs. In August, Hurricane Andrew tore through South Florida, the costliest U.S. hurricane on record at the time, causing tens of billions of dollars in damage and reshaping how insurers priced catastrophe risk for years afterward. Falling rates, a costly hurricane, and an election fought over jobs defined a recovery that showed up in the data well before it showed up in most paychecks.
Year in review
Inflation in 1992
The U.S. inflation rate in 1992 was 3.0% (CPI: 140.3). Convert 1992 dollars to today →
3.0% 1992 inflation rate
3.0% 1990s average
3.2% peak month (Oct)
2.6% lowest month (Jan)
What things cost in 1992
In 1992, the median household income was $30,636, and a gallon of gas cost $1.13.
| Median household income | $30,636 |
|---|---|
| Gas (per gallon) | $1.13 |
| Median home price | $121,500 |
| First-class stamp | $0.29 |
| Federal minimum wage | $4.25 |
What $100 from 1992 was worth later
$100 from 1992 had the buying power of $237 by 2026; each milestone links to that conversion.
| In 2000 | $123 |
|---|---|
| In 2010 | $155 |
| In 2020 | $184 |
| In 2026 | $237 |
Inflation in 1992, month by month
| Month | CPI-U | 12-month rate |
|---|---|---|
| January | 138.1 | 2.6% |
| February | 138.6 | 2.8% |
| March | 139.3 | 3.2% |
| April | 139.5 | 3.2% |
| May | 139.7 | 3.0% |
| June | 140.2 | 3.1% |
| July | 140.5 | 3.2% |
| August | 140.9 | 3.1% |
| September | 141.3 | 3.0% |
| October | 141.8 | 3.2% |
| November | 142 | 3.0% |
| December | 141.9 | 2.9% |
Economic events of 1992
Bill Clinton wins the presidency in November, with the economy the defining issue; prices rose 3.0% that year.
- Bill Clinton wins the presidency in November, with the economy the defining issue Clinton's campaign made the sluggish recovery its central message, running against an incumbent, George H.W. Bush, whose approval ratings had fallen sharply from their Gulf War highs as unemployment climbed.
- The Federal Reserve cuts its policy rate to its lowest level in decades The Fed lowered the federal funds rate repeatedly through the year, reaching about 3% by September, as it tried to jump-start a recovery that still hadn't produced much hiring more than a year after the 1990-91 recession ended.
- Hurricane Andrew strikes South Florida in August, the costliest U.S. hurricane on record to that point The storm caused tens of billions of dollars in damage and reshaped how insurers priced catastrophe risk for years afterward.
- Inflation falls to 3.0% for the year, its calmest reading since the mid-1980s With energy prices settled well below their 1990 spike and the labor market still slack, price growth eased for a second straight year.
Sources: U.S. Census Bureau, Current Population Survey (income); U.S. Census Bureau, New Residential Sales (home price); U.S. Energy Information Administration (gasoline); U.S. Department of Labor (minimum wage); USPS historical rates.
Inflation figures: U.S. Bureau of Labor Statistics, CPI-U annual averages. See the methodology.