The cost of living in San Francisco, California is greater than the cost of living in Baltimore.
Given that
The Porter family used an online family budget estimator to compare the costs of living in Baltimore and San Francisco for a family with two parents and two children.
We have to determine
Where is the cost of living higher?
According to the question
Cost of living is the amount of money needed for fixed expenses such as housing, food, taxes, and health care, as well as variable expenses.
Big cities tend to have a higher cost of living than smaller cities.
From a business perspective, we need to consider the cost of living and rent index (considering they will rent in both cities) difference in response to net earnings.
According to recent statistics, the cost of living in Baltimore is about 40 percent lower than in San Francisco.
Also, it should be noted the Porter Family would have to earn quite more than they do in Baltimore before they can maintain the same standard of living.
Supposing Porter's family is earning $50,000 in Baltimore, they would need about $89,000 to maintain the same lifestyle they lived in Baltimore.
Per data in general, we can say that it would cost ~$5000+ to live in California.
These values should be directly related to the indices difference of these underlying factors: consumer prices (CA is 4% lower than MD), consumer prices + rent (CA is 7% higher than MD), rent (CA is 28% higher than MD), restaurant (CA is 3% lower than MD), groceries (CA is 4% lower than MD), and local purchasing power is 10% higher in CA than MD.
Hence, the cost of living in San Francisco, California is greater than the cost of living in Baltimore, Maryland.
To know more about Statices click the link given below.
brainly.com/question/2950660
