The location factor is based on the local job market (what your next best option is), which is related to the cost-of-living, but is not directly such a measure

The location factor is based on the local job market (what your next best option is), which is related to the cost-of-living, but is not directly such a measure. (I'm not arguing that this is right or wrong; I'm just saying how I think it is. This is an "is", not an "ought", argument.)