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U.S. Economy and the Federal Budget
The Shrinking Value of the Dollar
The CPI inflation calculator uses the average Consumer Price Index for a given calendar year. This data represents
changes in prices of all goods and services purchased for consumption by urban households. This index value has
been calculated every year since 1913. For the current year, the latest monthly index value is used. In 2008, for
example, it took $21.57 to buy what $1 bought in 1913. Note that in 1920, it cost $2.02, and declined in 1925 and
through the 1930s, illustrating the effect of the Great Depression, when prices slumped. Prices did not pass $2 again
until 1950.
Year
Amount it took to
equal $1 in 1913
1913
$1.00
1920
2.02
1925
1.77
1930
1.69
1935
1.38
1940
1.41
1945
$1.82
1950
2.43
1955
2.71
1960
2.99
1965
3.18
1970
3.92
1975
$5.43
1980
8.32
1985
10.87
1990
13.20
1995
15.39
2000
17.39
2001
$17.89
2002
18.17
2003
18.59
2004
19.08
2005
19.73
2006
20.18
2007
20.94
2008
21.57
2012
23.27
Source: Bureau of Labor Statistics. Web:
Information Please® Database, © 2013 Pearson Education, Inc. All rights reserved.
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