# $8,851 in 1925 is worth$27,210.50 in 1975

$8,851 in 1925 has the same purchasing power as$27,210.50 in 1975. Over the 50 years this is a change of $18,359.50. The average inflation rate of the dollar between 1925 and 1975 was 2.37% per year. The cumulative price increase of the dollar over this time was 207.43%. ## The value of$8,851 from 1925 to 1975

So what does this data mean? It means that the prices in 1975 are 272.11 higher than the average prices since 1925. A dollar in 1975 can buy 32.53% of what it could buy in 1925.

We can look at the buying power equivalent for $8,851 in 1925 to see how much you would need to adjust for in order to beat inflation. For 1925 to 1975, if you started with$8,851 in 1925, you would need to have $27,210.50 in 1925 to keep up with inflation rates. So if we are saying that$8,851 is equivalent to $27,210.50 over time, you can see the core concept of inflation in action. The "real value" of a single dollar decreases over time. It will pay for fewer items at the store than it did previously. In the chart below you can see how the value of the dollar is worth less over 50 years. ## Value of$8,851 Over Time

In the table below we can see the value of the US Dollar over time. According to the BLS, each of these amounts are equivalent in terms of what that amount could purchase at the time.

Year Dollar Value Inflation Rate
1925 $8,851.00 2.34% 1926$8,952.15 1.14%
1927 $8,800.42 -1.69% 1928$8,648.69 -1.72%
1929 $8,648.69 0.00% 1930$8,446.38 -2.34%
1931 $7,687.73 -8.98% 1932$6,929.07 -9.87%
1933 $6,575.03 -5.11% 1934$6,777.34 3.08%
1935 $6,929.07 2.24% 1936$7,030.22 1.46%
1937 $7,283.11 3.60% 1938$7,131.38 -2.08%
1939 $7,030.22 -1.42% 1940$7,080.80 0.72%
1941 $7,434.84 5.00% 1942$8,244.07 10.88%
1943 $8,749.85 6.13% 1944$8,901.58 1.73%
1945 $9,103.89 2.27% 1946$9,862.54 8.33%
1947 $11,278.70 14.36% 1948$12,189.09 8.07%
1949 $12,037.36 -1.24% 1950$12,189.09 1.26%
1951 $13,150.06 7.88% 1952$13,402.94 1.92%
1953 $13,504.10 0.75% 1954$13,605.25 0.75%
1955 $13,554.67 -0.37% 1956$13,756.98 1.49%
1957 $14,212.18 3.31% 1958$14,616.79 2.85%
1959 $14,717.95 0.69% 1960$14,970.83 1.72%
1961 $15,122.57 1.01% 1962$15,274.30 1.00%
1963 $15,476.61 1.32% 1964$15,678.91 1.31%
1965 $15,931.80 1.61% 1966$16,386.99 2.86%
1967 $16,892.77 3.09% 1968$17,600.85 4.19%
1969 $18,561.81 5.46% 1970$19,623.93 5.72%
1971 $20,483.74 4.38% 1972$21,141.25 3.21%
1973 $22,456.25 6.22% 1974$24,934.53 11.04%