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An In-Depth Examination of Inflation Relief for a Government Contractor

Procurement Notes

1] Similarly, the BLS September 14 Producer Price Index (“PPI”) Summary states that “[o]n an unadjusted basis, the index for final demand moved up 8.7 According to Deltek’s 2022 Government Contracting Industry Study , in 2021, “[m]edian profit margin was higher (15%) compared with what has been observed since 2012 (6-10%).” [10]

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Government Contracts Inflation Update

Procurement Notes

Since at least January 2012, the Federal Reserve System’s Federal Open Market Committee (“FOMC”) has maintained that a 2% inflation rate is optimal for maximizing employment and keeping prices stable. [6] 16] In view of the foregoing, BLS’ March 15, 2023 PPI summary stated that, “[o]n an unadjusted basis, the final demand index rose 4.6