The cost of living in Provo and Orem was 11.1 percent below the national average during the second quarter of 1989, according to the American Chamber of Commerce Researchers Association.
Provo/Orem scored 88.9 on the group's cost-of-living index, where 100 equals the national average. In comparison, Salt Lake City scored 95.6, San Diego was 129.2 and Phoenix tallied 104.6.The index measures differences between areas in the cost of consumer goods and services, excluding taxes and non-consumer expenditures. It is based on prices of 59 items in six categories: groceries, housing, utilities, transportation, health care and miscellaneous.
Provo and Orem have consistently been well below the national average in cost of living for several years, according to Provo/Orem Chamber of Commerce President Steve Densley. "It's one of the things that make our area so attractive to relocating companies and people."
The lowest-ranked component in Provo/Orem's composite was housing at 75.4, and transportation was highest at 99.4. Groceries were 89.7; utilities scored 88.9; health care was 89.2; and miscellaneous goods and services came in at 93.7.