$1,731 in today’s USD is $37,392. That new car would be $18k, rent was just over $500. There’s places in the US where average rent is close to that, and I bet if we removed NYC and the Bay area the national average wouldn’t be super far off.
Education and staples are where you’re getting drilled on a daily basis. Harvard costs many times the average national income rather than being a fraction of it.
Someone’s overlooking the low low cost of buying a house back then. Essentially 2 years of salary. Housing where I live is now 20 years of median salary and about 19 years of average salary, and far more once you consider a loan.
House sizes have also ballooned. The average home size in 1949 was ~900 sq ft, whereas a new home now is ~2500 sq ft. It was still cheaper, but those homes prices are for a lot less house than people are imagining.
My relatively small house (~1200 sq ft) was built in 1950 and is currently appraised at $550k, so it’s not just house size. Granted, I live in a highly-desirable west coast city and the lot is worth more than the house itself, but the point remains.
I agree, it’s definitely not just house size. But still, I’m not sure that your one data point anecdote is very meaningful. Desirable areas were more expensive in the 1950s too.
Didn’t overlook it, I simply didn’t comment on it. You also have to be careful about comparing where you personally live and the national average. Because the national average includes a lot of places that are shockingly poor.
Okay. Let’s go local on a market. Chose San Antonio because it’s been fairly steady over the years and has a decent cost of living compared to other places…
Average Salary: approx $55,000 Average Home Price: approx $300,000
So you would still need 5.5 years for a home compared to just over 2 years. And that’s assuming the gross, not net and entire paycheck. You can still pick most places in the US that are out in rural nowhere and the inflation is plainly obvious, it’s just the degree may change a bit.
holy shit that the price of a car is way more than the rent cost. Nowadays a car is 4-5x a months rent the price on the chart is lile 20x
Honestly big ups to the Milk industry for keeping milk inflation down relative to the rest.
but uh… curse them for their awful practices and ruining the environment etc etc
Well…it’s heavily subsidized, so you pay for it in taxes and then pay for it at the store.
Jokes on you, I don’t pay taxes.
Well as someone who does, I don’t like that
To be fair, this was in a recession during the great depression. The unemployment rate was 19% in June 1938.
Average income of $1,731/yr is equivalent to $37,393 in present dollars. Current average wage is $63,795.
Yes but a house would only cost $84,240 in todays dollars. It’s all relative.
