Price Indexing

A component or clause of a contract that allows for the use of price indexing to establish costs. Often used by businesses and government to adjust payments and/or charges to take account of changes in categories of prices. Also known as Indexation Clauses. Some examples include: Consumer Price Index, Producer Price Index, Construction Price Index, Employment Cost Index, Import/Export Price Indexes, Manufacturing Production Index, Metal Price Index and Commodity Fuel Index.

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