The cost of living in America is not uniform. It varies between the regions of the

country and can differ within the area as well. Although the basic expenses for an

individual or family can be different, looking at the average cost of a sample of the basic

necessities such as food, shelter and clothing and then comparing the results between and

within the regions of the USA produces a good indicator of the cost of living one would expect

within that particular area and versus another.

Some of the factors to consider when you Compare living Cost

include the cost of housing, average wages, and the unemployment rate. The impact

of governmental factors and the environment are also taken into consideration. This basic sample

of goods and services is referred to as the Consumer Price Index (CPI) and this index is then used

for comparing expenses within the United States.

The major geographical areas within the US are the Northeast, Southeast, Mid-west, Southwest and the

Western states including Alaska and Hawaii. The most significant factor influencing the cost of living

in each area is housing. Generally, the Northeast and West have higher than average and the southeastern

states lower than average living expenses. The same is true for wages and employment. Wages and the cost

of shelter are usually higher in urban areas. As a result, it’s more expensive to live in a southern city

like Atlanta or Miami, then a rural area of the Mid- or Southwest.

Supply and demand also influence the cost of living. With a large population density, the Northeast

and Western states have a greater demand for goods and services. This strain on available resources

produces above average prices when compared to other regions of the nation. For Alaska and Hawaii,

the higher transportation expenses to deliver goods to remote locations means significantly higher than average prices.

Government expenditures are a factor affecting the cost of living between regions. For example, the Mid-West

and the Northeast have costs for snow removal. This means a higher tax burden in the colder regions than in the

warmer ones. Transportation expenses tend to be lower in the Southeast and higher in the West and Northeast as well.

The cost of living in the USA is higher in the Northeast and West, less expensive in the Southeast and approximately

on average in the Mid-West and Southwest.