Why does AK have such a high cost of living compared to the rest of the U.S.A.?
That’s a question that has crossed the mind of many residents of the state at least from one time to another. We spoke to State Department of Labor Economist Neil Freed, who recently dove into that topic for the latest issue of Alaska Economic Trends.
Freed said that the state’s population is continuing to grow, however, the distance between areas in the state also plays a role in driving up costs..
Freed said that other factors such as limited competition has seen in increase in the past years.