Part I: What effect do Food Stamps have on households?
To gain insight into whether the SNAP program has a detrimental impact on BMI we need to see how households react to receiving Food Stamps against receiving cash. This determines whether households are distorted or inframarginal and hence whether recipients will disproportionately spend more of their purchasing powers on food products. The canonical theory suggests that Food Stamps should have the same effect as cash benefits meaning consumers are inframarginal.
Previous studies having reported different outcomes, Hoynes and Schazenbach found that consumers respond to Food …show more content…
Healthy Start Scheme is a sample specific scheme implemented in the UK in 2005, designed to assist low income families predominantly with children under 4, in purchasing healthier foods vital to the development of infants, including the parents’ nutritional