Indexation of contracts
In statistics, the indexation of contracts also called “index linking” and “contract escalation” is a procedure when a contract includes a periodic adjustment to the prices paid for the contract provisions based on the the level of a nominated price index. The purpose of indexation is to readjust contracts to account for inflation. [1][2]In the United States, the CPI, PPI, and ECI are the most frequently used indexes. [3]
See Also
- Indexation
- Purchasing power
- Bureau of Labor Statistics
- Consumer Price Index (CPI)
- Producer Price Index (PPI)
- Employment Cost Index (ECI)
References
- ^ "INDEXATION OF CONTRACTS". Gloassary of statistical terms. OECD. Friday, July 08, 2005. Retrieved 2009-05-07.
{{cite web}}: Check date values in:|date=(help) - ^ "BLS Information". Glossary. U.S. Bureau of Labor Statistics Division of Information Services. February 28, 2008. Retrieved 2009-05-05.
- ^ "Contract Escalation". BLS Information. U.S. Bureau of Labor Statistics. July 27, 2006. Retrieved 2009-05-07.
External Links
- Absence rate in glossary, U.S. Bureau of Labor Statistics Division of Information Services
- INDEXATION OF CONTRACTS, Glossary of Statistical Terms
- Contract Escalation
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