Kassandra Martinchek, Fernando Hernandez-Lepe, Jonathan Schwabish, Elaine Waxman
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How did consumers change their grocery spending in response to changes in Supplemental Nutrition Assistance Program benefit generosity?
In this paper, we examine the impact of reducing Supplemental Nutrition Assistance Program (SNAP) benefits on grocery purchases using data from Circana. We use an imputed difference-in-difference model to exploit state-level variation in decisions to remove pandemic-era SNAP emergency allotments to estimate the impact of such policies. We find that SNAP households respond to the removal of SNAP emergency allotments by reducing their grocery expenditures by 4.6% on average and by putting 24.1% more of their grocery bills on credit cards. These results hold for SNAP participants headed by Black and White individuals and for households with children.
期刊介绍:
Applied Economic Perspectives and Policy provides a forum to address contemporary and emerging policy issues within an economic framework that informs the decision-making and policy-making community.
AEPP welcomes submissions related to the economics of public policy themes associated with agriculture; animal, plant, and human health; energy; environment; food and consumer behavior; international development; natural hazards; natural resources; population and migration; and regional and rural development.