1985 Dollars: A Look Back at the Value of Money
Introduction
1985 was a significant year in many ways. It was the year of the first mobile phone call, the first calculator watch, and the introduction of the first Apple Macintosh computer. But how much did things cost back then? In this article, we'll take a look at the value of money in 1985 and see how it compares to today.
The Cost of Living in 1985
In 1985, the cost of living was relatively low compared to today. Here are some examples of prices for common items:
- Gasoline: 91 cents per gallon
- Milk: $1.92 per gallon
- Bread: 66 cents per loaf
- Eggs: 65 cents per dozen
- Postage Stamp: 22 cents
- New Car: $9,000 - $15,000
- Average House Price: $89,400
- Minimum Wage: $3.35 per hour
The Value of $1 in 1985
To put these prices into perspective, let's look at the value of $1 in 1985. According to the Bureau of Labor Statistics' Consumer Price Index (CPI) inflation calculator, $1 in 1985 has the same purchasing power as approximately $2.43 in 2021.
This means that if you had $100 in 1985, it would be equivalent to around $243 in 2021. That's a significant increase in value over the past 36 years.
Inflation Rate in 1985
The inflation rate in 1985 was around 3.8%, which is relatively low compared to some other years in the 1980s. This means that prices were increasing, but not dramatically so.
Conclusion
1985 was a unique time in history, with rapidly advancing technology and relatively low prices. While the cost of living was low, the value of money was still significant. By understanding the value of money in 1985, we can gain a better appreciation for the economic conditions of the time and how they compare to today.
Fun Facts
- The first episode of the popular TV show "The Golden Girls" aired in 1985.
- The first Nintendo Entertainment System (NES) was released in 1985.
- The famous music channel MTV (Music Television) was launched in 1985.
I hope you enjoyed this trip down memory lane!
