The value of a dollar in 1964????

OK, I read the earlier discussion, but a very
key number is the value of a dollar in 1964.

This number is important because that was the
last year the USA used silver to make coins.

So how much is one 1964 dollar worth today?

I guess silver was worth less than $1.29 an ounce
in 1964 and by 1967 one ounce of silver was
worth more than an $1.29, so I guess the question
should be more accurately stated,

How much is one dollar in the period between
1965 and 1967 worth today?

John J. McCusker wrote a book entitled How Much Is That in Real Money?
(Worcester: American Antiquarian Society, 2001). In it he gives these
statistics:

The Composite Commodity Price Index (1860 = 100) for 1964 was 371; 1965,
377; 1966, 388; 1967, 399; 1968, 416; 2000, 2059; 2001 (est.), 2111.


"tom" wrote in message
news:XT9qd.473890$D%.328309@attbi_s51...
OK, I read the earlier discussion, but a very
key number is the value of a dollar in 1964.

This number is important because that was the
last year the USA used silver to make coins.

So how much is one 1964 dollar worth today?

I guess silver was worth less than $1.29 an ounce
in 1964 and by 1967 one ounce of silver was
worth more than an $1.29, so I guess the question
should be more accurately stated,

How much is one dollar in the period between
1965 and 1967 worth today?

http://www.eh.net/hmit/ppowerusd/



----
Frank Provasek Rare Coins
www.frankcoins.com

Neat site, Frank, thanks!

I plugged $371/1964 into that site and got $2200/2004. That pretty much
agrees with the book I cited in my previous post to this thread.

"Frank Provasek" wrote in message
nk.net...
http://www.eh.net/hmit/ppowerusd/



----
Frank Provasek Rare Coins
www.frankcoins.com

http://www.eh.net/hmit/ppowerusd/

Neat website Frank. Although it only goes to the year 2003, the answer to my
query of how much purchasing power one 1964 dollar would be required in 2003
dollars, the answer came back $5.93.

"Frank Provasek" wrote in message
nk.net...
http://www.eh.net/hmit/ppowerusd/



----
Frank Provasek Rare Coins
www.frankcoins.com



The number I get suggests that gold is way way
overvalued. How did they get those numbers
anyway?

"tom" wrote in message news:0Fcqd.98588$V41.55495@attbi_s52...
"Frank Provasek" wrote in message
nk.net...
http://www.eh.net/hmit/ppowerusd/



----
Frank Provasek Rare Coins
www.frankcoins.com



The number I get suggests that gold is way way
overvalued. How did they get those numbers
anyway?

You need to realize that the price of gold in 1964 was still "fixed"
by the U.S. Government. During the period 1933 to 1968, the U.S.
Government would buy gold when the price was slightly below $35 and
they would sell it if the price threatened to go over $35. This
policy continued for three decades despite the fact that billions of
new dollars were created by both business and government during the
period (the U.S. government did become more reluctant to sell gold
after 1964 or so, which ultimately led to the collapse of the fixed
rate system. After 1964, the U.S. Treasury did more direct deals
where they would buy dollars from the French authorities or other
European central banks for shipments of gold and avoid the London and
New York gold markets altogether).

Accordingly, you should not be multiplying 5 or 6 times the 1933-1968
official gold price and then determining that gold should be $200
today. The price of gold through most of the 1960s was artifically
depressed by government. The very best gold bug writers of the 1960s
correctly pointed out that buying gold was a "no-risk" proposition as
long as the U.S. Government continued to try to control the price of
gold.

The candy bars that cost me a dime in 1964 (or more usually, my mom)
are now between 50 cents and one dollar. I usually multiply by five
when comparing prices between the 1960s and today.

oly

"Frank Provasek" wrote in message
nk.net...
http://www.eh.net/hmit/ppowerusd/



----
Frank Provasek Rare Coins
www.frankcoins.com


Great link Frank! Added to favorites.

--
John

Visit the RCCers favorite coins web page
http://mysite.verizon.net/jcarney44/coins/rccers.html

"oly2059" wrote in message
om...
"tom" wrote in message
news:0Fcqd.98588$V41.55495@attbi_s52...
"Frank Provasek" wrote in message
nk.net...
http://www.eh.net/hmit/ppowerusd/



----
Frank Provasek Rare Coins
www.frankcoins.com



The number I get suggests that gold is way way
overvalued. How did they get those numbers
anyway?

You need to realize that the price of gold in 1964 was still "fixed"
by the U.S. Government. During the period 1933 to 1968, the U.S.
Government would buy gold when the price was slightly below $35 and
they would sell it if the price threatened to go over $35. This
policy continued for three decades despite the fact that billions of
new dollars were created by both business and government during the
period (the U.S. government did become more reluctant to sell gold
after 1964 or so, which ultimately led to the collapse of the fixed
rate system. After 1964, the U.S. Treasury did more direct deals
where they would buy dollars from the French authorities or other
European central banks for shipments of gold and avoid the London and
New York gold markets altogether).

Accordingly, you should not be multiplying 5 or 6 times the 1933-1968
official gold price and then determining that gold should be $200
today. The price of gold through most of the 1960s was artifically
depressed by government. The very best gold bug writers of the 1960s
correctly pointed out that buying gold was a "no-risk" proposition as
long as the U.S. Government continued to try to control the price of
gold.

The candy bars that cost me a dime in 1964 (or more usually, my mom)
are now between 50 cents and one dollar. I usually multiply by five
when comparing prices between the 1960s and today.

oly

As I understand it dollars from overseas
could be traded for gold at a fixed rate before 1971.

Also in 1964, a candy bar was five cents. A GTO was well under $5000 brand
new(someone please
post the actual price), and a house that is now worth one million dollars
cost a hell of alot less.
I dont think the number that this site brings is accurate.

What did a Cadillac cost in 1965?

"tom" wrote in message
news:M9qqd.102826$V41.63859@attbi_s52...

"oly2059" wrote in message
om...
"tom" wrote in message
news:0Fcqd.98588$V41.55495@attbi_s52...
"Frank Provasek" wrote in message
nk.net...
http://www.eh.net/hmit/ppowerusd/



----
Frank Provasek Rare Coins
www.frankcoins.com



The number I get suggests that gold is way way
overvalued. How did they get those numbers
anyway?

You need to realize that the price of gold in 1964 was still "fixed"
by the U.S. Government. During the period 1933 to 1968, the U.S.
Government would buy gold when the price was slightly below $35 and
they would sell it if the price threatened to go over $35. This
policy continued for three decades despite the fact that billions of
new dollars were created by both business and government during the
period (the U.S. government did become more reluctant to sell gold
after 1964 or so, which ultimately led to the collapse of the fixed
rate system. After 1964, the U.S. Treasury did more direct deals
where they would buy dollars from the French authorities or other
European central banks for shipments of gold and avoid the London and
New York gold markets altogether).

Accordingly, you should not be multiplying 5 or 6 times the 1933-1968
official gold price and then determining that gold should be $200
today. The price of gold through most of the 1960s was artifically
depressed by government. The very best gold bug writers of the 1960s
correctly pointed out that buying gold was a "no-risk" proposition as
long as the U.S. Government continued to try to control the price of
gold.

The candy bars that cost me a dime in 1964 (or more usually, my mom)
are now between 50 cents and one dollar. I usually multiply by five
when comparing prices between the 1960s and today.

oly

As I understand it dollars from overseas
could be traded for gold at a fixed rate before 1971.

Also in 1964, a candy bar was five cents. A GTO was well under $5000
brand
new(someone please
post the actual price), and a house that is now worth one million dollars
cost a hell of alot less.
I dont think the number that this site brings is accurate.

What did a Cadillac cost in 1965?


In 1962 my parents bought a modest frame house, newly constructed for $3500.
In a small town in Texas, couldn't do that in Boston or New York C I bet :-)

In 1965 I was 10 and got an allowance of 25 cents a week.
I did collect a few coin from circulation back then but didn't keep them
for long on my budget :-)

Was there even a GTO in 1965? First I remember was 69 and it was a beauty!
I believe the Mustang came out in 65 but it was considerably underpowered
compared to later models.

Dale