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The cost of living is the sum total of all the costs necessary to live. If you are on your own you would have to consider rent, utilities, car payment, fuel, insurance, food and so on. Once you total all of those things you know your personal cost of living.

The government takes an average all across the country and compares records from one year to the next to determine if cost of living has gone up or down or stayed the same.

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Q: What does it mean when you say Cost of Living?
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