A family of four with a total income of $60,000 has a better standard of living than a family of two making $35,000.

Question

Quizplus · Accepted Answer

The standard of living is not solely determined by total income but also by the number of people that income supports. A family of four with $60,000 has to spread their income among more people than a family of two with $35,000, potentially leading to a lower per capita income and thus a lower standard of living for the larger family.

A Family of Four with a Total Income of $60,000