Discussion in 'Financial Cents' started by melbo, Sep 26, 2007.

  1. melbo

    melbo Hunter Gatherer Administrator Founding Member

    After reading some data on 1900 costs vs todays costs, I think you have to have at least 40-50 million today to have the same buying power and true wealth as then. This is interesting to look at and I think Bear has some more info on this kind of thing. True Inflation


    Cost of Living

    A comparison of the cost of living today and the cost of living in 1900 is not readily available.

    Homer Hoyt suggests that older houses in the more fashionable neighborhoods rented for $25-60 per month. Apartments were being built for the upper class along the fashionable boulevards which were to be rented for $100-300 per month, or even $1,000 for certain Lakeshore Drive palaces. Apartment or flat living was becoming popular because of increasing difficulties in getting servants to maintain large detached residences

    Cost per pound :

    Rib Roast $.13, Chuck Steak $.08, Sirloin $.14, Corned Beef $.06, Butter $.22, Cheese $.17, Coffee $.14, Flour $.02, Lard $.10, Mutton $.08, Pork Chops, $.10, Rice $.06, Sugar $.06

    Other prices:

    Dry Beans—quart $.09, Bread—1 pound loaf $.05, Eggs—dozen $.18, Milk—quart $.06, Molasses—gallon $.60, Irish Potatoes—Bushel $.39

    Housing costs were often among the most crippling items in the family budget. It is difficult to find data on costs in 1900, but below are some representative figures.

    Robert Hunter in Tenement Conditions in Chicago p.46 cites a tenement in which small dark 2-3 room apartments rent for $4-7 per month.

    The Chicago Budget for 1900 gives an idea of the wages paid in the public sector. Some sample annual wages:

    Janitors (male) $720, (female) $540
    Coal passers $720-780
    Firefighters $840-1,134
    Patrolmen $1,000, Police Matrons $720
    Laborers $600
    Stenographer (female) $900, male clerks generally earned $900-1200
    Mayor $10,000
    Department Heads generally earned $3,000-6,000.
    A quite numerous class of assistants, chief clerks, lawyers, police and fire supervisors, etc., earned a comfortable middle class income of $1200-3000 per year.
  2. monkeyman

    monkeyman Monkey+++ Moderator Emeritus Founding Member

    I would LOVE to have a decent years income from now and be able to spen it at the prices from then.
  3. Brokor

    Brokor Live Free or Cry Moderator Site Supporter+++ Founding Member

    Whenever a FIAT currency is introduced, there will always be inflation.

    For a time, when the United States still used the gold standard, the markets were relatively stable, but sharply declined into a depression once the gold was withdrawn from circulation and "hoarding" was announced the culprit. Even so, a gold or silver standard is extremely volatile due to the risks imposed on the banks; if they are privately owned (as every bank has been in the United States), they will become the center for controlling the monetary system itself and will be controlled by European banking interests (just as every bank has been since the very First Bank of the United States).
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