indexation
C2CEFR level
82/100Rarity: very rare
TechnicalRegister
Law noun
The adjustment of a tax base or allowance to reflect inflation.
Indexation allowance stripped out the inflationary element of the company's gain.
Business noun
The linking of wages, pensions or taxes to a price index so that they rise automatically with inflation.
Automatic indexation of pensions protects retirees but can entrench an inflationary spiral.
Rarity runs from 0 (a word everyone knows) to 100 (almost never seen outside specialist or literary writing). Level is the word's real difficulty on the CEFR scale, from A1 to C2.
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