Need perspective on 5 pounds, 1733 PA money

[at...@imap2.asu.edu]

Hugh Thomson (hu...@thrl.demon.co.uk) wrote:
: In article <4oqsi8$g...@globe.indirect.com>,
: dha...@indirect.com (David T. Hardy) wrote:

: >In article <4octcf$j...@dfw-ixnews2.ix.netcom.com>
: >ccob...@ix.netcom.com(Craig Coberly ) writes:
: >
: >> In 1733 my ancestor was sued for 5 pounds Pennsylvania money. Does
: >> someone have some way of putting this amount into perspective?
: >
: >Seems to have been a relatively small sum, even assuming the 5 pounds
: >in Pa. money meant 5 pounds sterling. I find a reference to enforcement
: >of the Hunting Acts, which mentions that, circa 1723, Windsor Forest
: >was administered by a staff of about 20. The lowest ranking were the
: >under-foresters, who made 20 pounds a year, which the author comments
: >would scarcely have made a living.
: >_____________________________________________________________________

: I would maintain that it would, by your reckoning be a considerble sum,
: amounting to somewhere between 2 and 3 months earnings. Assuming you are
: posting from the U.S. would this not be roughly equivilant to $2000/3000 ?

: --
: Hugh

I agree that the sum would be considerable. If you consider that 1996-1773
= 263 years, and assume and average annual inflation rate of 3%, that 5
pounds becomes about 11,889 pounds in today's dollars. Now if you apply
the current exchange rate, that works out to about $17,834. I have no idea
what the actual average inflation rate was over that period, but 3% seems
modest.

--
Dan Wilson
Arizona State Univ.

[WILLIAM A. NEFF]

Pure math is not a simple answer when you check to see what a bu. of
wheat or corn was selling for then and today. One if the best way's is
to select an estate apprasial for the same period and in the same area
and see what the value of say a horse, watch, clock, bed, etc. was
then. Use this to reference today's values.

Bill Neff
NEFF NEWS

[PZA...@news.delphi.com]

at...@imap2.asu.edu writes:

>I agree that the sum would be considerable. If you consider that 1996-1773
>= 263 years, and assume and average annual inflation rate of 3%, that 5
>pounds becomes about 11,889 pounds in today's dollars. Now if you apply
>the current exchange rate, that works out to about $17,834. I have no idea
>what the actual average inflation rate was over that period, but 3% seems
>modest.

The economy was not linear in its movement over that long period, or even
montonic. There were also substantial periods of deflation, which would
have to be considered in such a rough calculation as you have made. For
example, first class postage was reduced in price from the time of its
establishment into the 1920's, when it was a uniform $0.01 per letter. I
imagine the general dearth of gold in the US economy prior to the
California strikes of 1848 also had its effect.

PEter Zavon
Penfield, NY

PZA...@Delphi.com