comparable inflation-adjusted figure

[Eartha]

Dear all,

How should I understand the underlined sentence?

Thanks in advance.

About 40 percent of American families in 1929 earned less than the $1,500 annual income that the federal government deemed the poverty level. That compares to 8.4 percent living at the federal poverty level of $15,000 in 2006. In 1929, only 2.3 percent earned more than $10,000 a year. In 2006, 24.2 percent earned more than $100,000, a comparable inflation-adjusted figure.

 

[2006]

Dear all,

How should I understand the underlined sentence?

Thanks in advance.

About 40 percent of American families in 1929 earned less than the $1,500 annual income that the federal government deemed the poverty level. That compares to 8.4 percent living at the federal poverty level of $15,000 in 2006. In 1929, only 2.3 percent earned more than $10,000 a year. In 2006, 24.2 percent earned more than $100,000, a comparable inflation-adjusted figure.

It means that $100,000 could buy as much in goods and/or services in 2006 as $10,000 could buy you in 1929. This is because the cost of things goes up over time. Thats what inflation is.

inflation = tong(1) huo(4) peng(2) zhang(4)

Inflation | Define Inflation at Dictionary.com