inflation rate over the last 50 years

[ardorlan]

Like allot of "facts" these days, The "True" Inflation rate seems to be highly debatable.

What do you think the real inflation rate in the US has been over the last 50 years?

[Slaphot]

657%. Mind blowing if you think about it.

http://www.inflationdata.com/inflation/Inflation_Calculators/Inflation_Calculator.asp#calcresults

[ardorlan]

I can easily see it being allot more then that.
Take the 1964 US Silver Coin, 1961 + 50 years = 2011, you see a price increase of 2803.14% or 4 times the number given from the inflation calculator.

I think the main reason for this is that the CPI is does not take into account quality to some extend,
I would like to point out, that I have done no research and am talking out of my ass.
But if the CPI measures lets say the average "silverware", over time this has changed, Maybe Silverware used to be silver? and now its cheaper metals.

so the goods in the CPI are of less value as what is average changes. As as technology increase Craftmanship/Art decreases, human craftmen are replace with machines and cost of goods goes down.

Like a 1920 Oak chair compared to a 2010 Oak Chair. They just don't make things like they used to and the CPI does not take this into account?.

[Slaphot]

You are right CPI is a joke. The calculator uses the goberment's take on inflation. I found some prices from 50 years ago.

1961 prices
Gallon of gas = .31 (1222% increase)
Postage stamp = .04 (1100%)
Median home = 17,200 (907% )
Gallon Milk = .49 (714%)
Dozens Eggs = .57 (335%)

I would love to fill up my tank for less than 4 bucks!

[Slaphot]

I found a couple more...

The average Dow price for 1961 was 672. Today's price is 11,480 that is an increase of 1,708%.

Now here is where it gets scary The federal debt in 1961 was 292.6 Billion.
2011 (14.3 Trillion) = 4,887% increase
2013 (16.7 Trillion) = 5,707% increase!!!!!

[ardorlan]

14.3 Trillion isn't so bad once you adjust for inflation that is *grin*

[Sheikh_yer_Bu'Tay]

It takes 14 1961 dimes to equal one ozt of silver, therefore, I will say you could buy silver at $1.40 an ozt in 1961.

Today it is $38.16 as I write this.

$38.16 / 1.40 = 27.25 or 2,725% inflation rate on silver

[Sheikh_yer_Bu'Tay]

You are right CPI is a joke. The calculator uses the goberment's take on inflation. I found some prices from 50 years ago.

1961 prices
Gallon of gas = .31 (1222% increase)
Postage stamp = .04 (1100%)
Median home = 17,200 (907% )
Gallon Milk = .49 (714%)
Dozens Eggs = .57 (335%)

I would love to fill up my tank for less than 4 bucks!

There was a "gas war" in my home town in 1971. You could buy gas at 9 cents per gallon at it's peak. I had just started driving in 1971, and I loved it!!!

You could take your girl on a date with a ten dollar bill. Eat pizza, go to a movie, then go to a small bar for beer and dancing and come home with change in your pocket!

[beauanderos]

You could take your girl on a date with a ten dollar bill. Eat pizza, go to a movie, then go to a small bar for beer and dancing and come home with change in your pocket!

You can still do that. You buy a frozen pizza, nuke it, share one slice. Go to Red Box, rent a movie about people drinking beer and dancing. There you have it. Nothings really changed.

[ardorlan]

You could take your girl on a date with a ten dollar bill. Eat pizza, go to a movie, then go to a small bar for beer and dancing and come home with change in your pocket!

You can still do that. You buy a frozen pizza, nuke it, share one slice. Go to Red Box, rent a movie about people drinking beer and dancing. There you have it. Nothings really changed.

she better be ugly otherwise your not getting a 2nd date

[slickeast]

Well that depends. Doc is from west virginia, so he was either going out with his sister or his cousin

[Corsair]

Well that depends. Doc is from west virginia, so he was either going out with his sister or his cousin

Or both. He's a playa.

[aristobolus]

You could take your girl on a date with a ten dollar bill. Eat pizza, go to a movie, then go to a small bar for beer and dancing and come home with change in your pocket!

You can still do that. You buy a frozen pizza, nuke it, share one slice. Go to Red Box, rent a movie about people drinking beer and dancing. There you have it. Nothings really changed.

[Sheikh_yer_Bu'Tay]

You could take your girl on a date with a ten dollar bill. Eat pizza, go to a movie, then go to a small bar for beer and dancing and come home with change in your pocket!

You can still do that. You buy a frozen pizza, nuke it, share one slice. Go to Red Box, rent a movie about people drinking beer and dancing. There you have it. Nothings really changed.

Hey! I don't remember.... are you single? If so, I understand why!

[68Camaro]

Like allot of "facts" these days, The "True" Inflation rate seems to be highly debatable.

What do you think the real inflation rate in the US has been over the last 50 years?

It varies a lot by item, but as one who has experienced that entire period the overall factor I use for comparison (confirmed by historic car research from that period) with the late 60s is a factor of 7. It is probably 8-9 if you take that further back to the early 60s. 5-6 if you move forward into the mid-70s.