The eye-opening cost of living in 1951

✯ Day 116 of Vintage 365 ✯

 

There is absolutely no denying - especially in the stern face of the recession that so much of the world has truly struggled through in recent years - that the cost of living has skyrocketed. I do not profess to be an expert on world economics by any means, and this post isn't meant to delve into the plethora of reasons why (nearly) everything has gone up (often significantly) in price lately. It is intended more as a look at what certain items cost in 1951 mixed with a few thoughts on the economy both then and now.

According The People History, a website with interesting stats and fun facts about the last several decades, in 1951 - just sixty years ago - the following prices were what the average American family would have paid for certain commonplace items (as well as the average wage).

 

Cost of living in 1951

Average wages per year $3,510.00

Average Cost of new house $9.000.00

Average Cost of a new car $1,500.00

Cost of a gallon of Gas 19 cents

Loaf of Bread 16 cents

Pound of Hamburger Meat 50 cents

Bacon per LB 52 cents

Eggs per dozen 24 cents

Water Jacket Heater ( Asbestos ) $4.59

Baby Diapers ( Cotton ) From $2.79

Children's Tricycle From $14.00

{Vintage suburban house image via wackystuff on Flickr.}

 

Though The People History site does not state where they sourced those numbers from, I would venture to say that these prices are a fair representation of what the above listed items really did cost in 1951.

At the time, my maternal grandma was twenty one, the same age my younger sister will turn later this year. It's staggering to think that someone of my grandma's generation could have purchased a house for "just" $9,000.00 (assuming the Canadian prices on housing in '51 were akin to those in the States).

Today, most small "starter homes" in large towns and cities across Canada will run you at least $200,000 (though in many areas, it's getting harder and harder to find even quasi-decent homes below the $300,000 mark).

Though some things have progressed at a somewhat "normal" rate of inflation (bread, eggs, ground beef, etc), others have clearly multiplied exceedingly and at rate the is no where on par with what people are, on average, earning these days.

In the post-war forties and fifties there was a burgeoning, successful middle class that sprang to life in a new and powerful way across North America. Things like car and home ownership, saving money, living within your means, and being able to provide your children with a good life (including a college education) were not pipe dreams, they were considered the American dream and they were there for nearly everyone to avail of, so long as they worked hard and were financially responsible.

Sixty years on the world is a very different place. The starry-eyed optimism of the fifties has been replaced by the grime reality of a world in economic crisis and a diminishing middle class (for an example of stats backing that statement up, see this article by Wayne Isaksen).

However the purpose of this post isn't too wallow in sorrow over the state of the economy right now. Only time will tell for sure how - and if - we will be able to rebound to pre-recession levels and if wages will ever be able to increase enough to afford the middle class the ability to restock its ranks once more. Instead it is to look back informatively at what things would have cost for our parents and/or grandparents sixty years ago.

I love the 1950s, they are without a doubt my favourite decade of all time. I find it fascinating to learn about the prices of everyday objects at the beginning of one of the most influential and impactful decades in recent history. A time when the world was far from perfect, yet still considerably more affordable. When one could pop down to the dealership and take home a new car for $1,500 or give little Timmy or Sally a tricycle for just $14.00.

In these prices I feel a common sense of nostalgia for an era, a way of life, and an economy that I never actually lived - but which I feel is worth remembering and learning about every chance I can get. Which is why, six decades on from when these prices rang true, I wanted to share this little table of costs with all of you, knowing as I do how much history means to you, as well.

Now the real question worth pondering becomes, what on earth will these items run us in another sixty years? None of us can know for sure, but I certainly hope – for the sake of our grandchildren -that starter housing prices won't be in the millions!