indexation

Automatic value adjustment

Indexation is the practice of automatically adjusting wages, prices, or other values according to changes in an index—typically a measure of inflation.

A contract with indexation might tie rent increases to the consumer price index: Indexation protects pensioners from losing purchasing power.

The term appears most often in economics and finance.

Also called indexing.

prices

inflation

Sustained price level increase

escalation · tariff · pricing · benchmarking · linkage · pegging · correction · revaluation · purchasing power · price adjustment

wages

wages

Payment for work

social security · COLA · earnings · pay · compensation · remuneration · adjustment · escalation · annual increase · cost-of-living adjustment

economic

GDP

National output abbreviation

devaluation · revaluation · parity · economic indicators · stabilization · productivity · growth · macroeconomic · central bank · interest rates

financial

TIPS

Liver blood flow diversion

real value · nominal value · real return · portfolio · gilt · linkers · principal · coupon · maturity · investment

Categories
Opposites
adjustment mechanism

indexationfixed rate

Unchanging interest percentage

wage freeze · fixed amount · flat rate · price freeze · manual adjustment

inflation response

indexationbracket creep

Inflation-driven tax increase

currency debasement

Family

index, indexed, indexes, indexing, indexer, unindexed, indexers, reindex, reindexing

Familiarity
Top 500,000
Profile
Used worldwide · Timeless · Abstract · Rated G