# Inflation Calculator - Calculatorall.com

This inflation calculator makes use of CPI data from the past for determining the worth of a particular amount after adjusting it for a particular year, be it before the current year or after it. You just have to enter a particular amount and its corresponding year as well as the year for inflation-adjusted amount.

Besides, here you can also find forward and backward flat rate inflation calculator which you can use for any theoretical scenarios where you need to find out inflation-adjusted amounts, when you know pre-existing amounts adjusted according to inflation rates and number of the years.

#### Inflation Calculator with U.S. CPI Data

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#### Forward Flat Rate Inflation Calculator

 with inflation rate % after years =

#### Backward Flat Rate Inflation Calculator

 with inflation rate % after years =

What Does Inflation Mean?

The general definition of inflation is increase in the prices for different goods, where a certain sum of money affords relatively less. When there is a rise in prices, the purchasing power of every currency unit decreases.

According to modern day economists, too much of inflation, also called as hyperinflation, isn't good. Where hyperinflation may lead to immense hardships for the economies even for most developed nations of today, moderate yearly inflation levels are considered quite healthy instead. As the money of the consumers will be less worthy in future, there's incentive for them in spending rather than stashing away. When economies take such steady upwards paths, it's normally a great thing.

What Causes Inflation?

Most of the reasons for inflation are made up in those major, all-encompassing theories from macroeconomics. The major imbalances between supply/demand of goods/services often lead to deflation or inflation on large scale.

. Cost-Push Inflation: For instance, the oil cost goes up because of a political turmoil. As the prices of many goods & services – like logistics, plastics and chemicals, depend on oil, there is an increase in their prices to take into account those higher costs that are associated with these businesses. Such inflation is referred to as Cost-Push inflation.

. Built-In Inflation: As events from the recent past usually determine the present events, people in the economy accordingly adjust their behaviors. For example, as they tend to assume that economy is moving upward perpetually, people start to spend rather than saving and they even take debts at will. Such activities tend to moderately reinforce inflation further.

. Demand-Pull Inflation: Such inflation takes place when the demands of the consumers become higher as compared to ability of the economy to produce. As enough supply of goods & services isn't there for everyone, currency is exchanged more readily in higher amounts for them. It's more likely to happen in case of increase in the money supply from Central Bank. This leads to more availability of cash, but enough of goods & services are not there to spend the cash on.

How This Inflation Calculator Works?

There are, basically, three different calculators on this page. The first one is the inflation calculator that uses US CPI Data. It can be used for calculating equivalent value for US dollar in a given year from 1913 to 2017. The calculator requires you to enter a particular amount and particular year for it and then select the year in which you’d like to check its equivalent value. The result will show you the purchasing power of your given amount, the inflation rate between the years you have entered and average inflation rate between those years.

The next is the forward flat rate inflation calculator. The calculator requires you to provide a value and an average inflation rate percentage along with the number of years after which you'd like to calculate the value of same amount of money at the given rate of inflation.

The last one is backward flat rate inflation calculator. This calculator shows equivalent buying power for an amount a few years back according to an average rate of inflation. The input values are the same i.e. a certain amount, average percentage rate of inflation, and the number of years you want to go back for finding equivalent value for the amount of money you have entered.