## What was the interest rate in 1981?

In late 1980 and early 1981, the Fed once again tightened the money supply, allowing the federal funds rate to approach 20 percent. Despite this, long-run interest rates continued to rise.

## How much inflation since 1980?

This means that 100 dollars in 1980 are equivalent to 351.08 dollars in 2022. In other words, the purchasing power of $100 in 1980 equals $351.08 today. The average annual inflation rate between these periods has been 3.04%.

## How do you calculate inflation?

Calculate the increase. To do this, subtract the original CPI from the final CPI. …Divide by the original. This means that you should divide your increase in CPI by the original CPI. …Convert your answer to a percent. …Multiply by the dollar amount. …Multiply 1 by 1.95 (1×1.95) to get the amount you need to add to your original dollar amount of $1. …

## What’s the highest inflation rate in U.S. history?

Inflation Rate in the United States averaged 3.24 percent from 1914 until 2021, reaching an all time high of 23.70 percent in June of 1920 and a record low of -15.80 percent in June of 1921.