The Subsidies is mean that the sum of money that give from government for support the people that live in that country so that the price of a commodity or service may remain low or competitive. For example, our country, Malaysia ,the government also give the subsidies like every people in our country can take a sum of money for help the family that got financial problem, for student in secondary school, they can get about Rm50 to buy their books for study, a family or the eldest people that over 65 age can also get about Rm500 for support their family. Some of the other countries also give other goods like rice, salt or sugar for support the people that live in their country. These subsidies will be given because want to make the country more prosperous and also want to reduce the burden of some of the family that not so much rich and some that got financial problem.
The cost of living is mean that the cost of maintaining a certain standard of living and also some of the basic expenses such as food, taxes, housing and healthcare. The basic of cost of living is usually measured by a price index, for example the consumer price index. Cost of living index is means that the changes in the cost of living over the time. There are many different types of the cost of living in different locations although there are in same of the country and these all can be measure by using the terms of purchasing power parity rates. For example, our country got 13 states and these 13 states also have different types of the cost of living.
The increase in the cost of living got good affected and also got bad affected for the public. First, the good affected to the public is many people will be more industrious to work until they can follow the increase of the cost of living. Nowadays many students just be engrossed in the technological appliance like mobile phone, laptop, computer and so on, so this