What is the indexed value?
The indexed value is the number of U.S. dollars (USD) required to maintain a constant level of purchasing power for the MR$. As inflation erodes the purchasing power of the USD, it will take an ever-greater number of USDs to equal the MR$. As an example, the MR$ was defined as equaling one USD on January 1st, 2000; but by August, 2005, the indexed value of the MR$ was $1.155767. If deflation occurs, then the USD value of the MR$ will go down, since USD become more valuable during deflationary time periods. But regardless of whether inflation or deflation ensues, the Millennium Dollar® will maintain a constant level of purchasing power as measured by the CPI-U.
