Cost-of-living index

A cost-of-living index is a tool to help people figure out how much it costs to live. It looks at different places and compares how much it costs for basic things like food, housing, and transportation. For example, in one place, a gallon of milk might cost $4, and in another, it might cost $6. The cost-of-living index helps you figure out which place is cheaper, by comparing how much different things cost in different places.