Economic Charts

Powerful: Purchasing Power Of A Dollar

Updated: May 07, 2024 | Published: Apr 14, 2024
Verified Investing
By Verified Investing
Powerful: Purchasing Power Of A Dollar

Even as the U.S. Dollar remains the reserve currency of the world, money printing and the resulting inflation has caused a massive deterioration in what $1 can buy.

It is important to remember that all central banks are printing massive amounts of money. This causes the Dollar to remain strong against those currencies. However, consumers are fully aware of shrinkflation and how little the Dollar buys compared to years ago.

Shrinkflation is when consumer goods cost the same but the amount you get for the price gets smaller.

It truly is amazing how little the Dollar is worth compared to goods from 20, 50 or 100 years ago. Take a look at the chart.

A Dollar Worth infographic