(1) A: 40.0% B: about 33.3%. Compared with 199 1 year, the Engel's coefficient of Lao Wang's family decreased in 20 1 1 year, indicating that their family consumption structure has improved and their living standards have improved. The reason for the decline of Engel's coefficient lies in the steady economic growth and the substantial increase of Lao Wang's income.

(2) The increase of family education expenditure increases the demand for cultural consumption, thus improving the family consumption structure. (2) The increase in family education expenditure is conducive to improving the quality of workers, improving wages and salaries, and thus improving family living standards.