Question 1

How does an inflation calculator work?

Accepted Answer

It multiplies your amount by the ratio of the Consumer Price Index (CPI) in the end year to the CPI in the start year. The result is how much money you would need in the end year to match the buying power of your original amount.

Question 2

How far back does the inflation data go?

Accepted Answer

Most countries go back to 1960. For 18 major economies the data reaches 1870, the United States extends to 1774, and the United Kingdom to 1209.

Question 3

Where does the inflation data come from?

Accepted Answer

Live World Bank Consumer Price Index data for current figures, the Jordà-Schularick-Taylor Macrohistory Database for long-run series, and MeasuringWorth for the deep US and UK histories.