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indexing

Definition 1

Contracting: Adjusting the terms of a long-term contract to account for the effects of inflation, so that neither party takes undue advantage, or unduly suffers the consequences, of continually rising prices.

Definition 2

Investing: Passive investment strategy of buying only the securities included in a stockmarket index, such Standard & Poor's 500 (S&P 500). Its advantages include low brokerage expenses and tax efficiency.

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