I assume cost of living in a city being higher though higher living costs but how does the school get more money to pay them then the teacher doing the same thing out in a town does the government give schools more money to schools in the city to pay them more just for them living in a city?
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This assumption is not often the case. Not sure where you are located, but in the US schools are funded largely by local property taxes. These are decided on a school district basis, which is typically a town or collection of neighboring towns. In most places in the US, small suburbs outside the major cities typically pay teachers much better, offer better education because wealthier home owners who are also willing to pay higher tax rates toward schools. Meanwhile, the poorer urban schools lack funding to pay well or offer top tier education.
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