IDEAS home Printed from https://ideas.repec.org/a/ags/arerjl/225656.html
   My bibliography  Save this article

How Does the Supplemental Nutrition Assistance Program Affect the U.S. Economy?

Author

Listed:
  • Reimer, Jeffrey J.
  • Weerasooriya, Senal
  • West, Tyler T.

Abstract

The impact of the Supplemental Nutrition Assistance Program (SNAP) on the national economy is examined using a general equilibrium model and comparing measures of the economy from 2010 to a simulation of that economy without SNAP. Without the SNAP program, the overall size of the economy hardly differs—demand for labor increases slightly. However, households that would be eligible for SNAP experience a net loss. They have 5.5 percent less disposable income while ineligible households have approximately 1 percent more income without SNAP, and output of products eligible for purchase with SNAP funds declines approximately one billion dollars.

Suggested Citation

  • Reimer, Jeffrey J. & Weerasooriya, Senal & West, Tyler T., 2015. "How Does the Supplemental Nutrition Assistance Program Affect the U.S. Economy?," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 44(3), pages 1-20, December.
    • Handle: RePEc:ags:arerjl:225656
    DOI: 10.22004/ag.econ.225656
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/225656/files/ARER2015%2044x3%2003Reimer.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.225656?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. repec:mpr:mprres:6936 is not listed on IDEAS
    2. Bruce Meyer & Robert Goerge, 2011. "Errors in Survey Reporting and Imputation and Their Effects on Estimates of Food Stamp Program Participation," Working Papers 11-14, Center for Economic Studies, U.S. Census Bureau.
    3. Randhir, Timothy O. & Hertel, Thomas W., 2000. "Trade Liberalization as a Vehicle for Adapting to Global Warming," Agricultural and Resource Economics Review, Cambridge University Press, vol. 29(2), pages 159-172, October.
    4. Edward C. Waters & David W. Holland & Bruce A. Weber, 1997. "Economic Impacts of a Property Tax Limitation: A Computable General Equilibrium Analysis of Oregon's Measure 5," Land Economics, University of Wisconsin Press, vol. 73(1), pages 72-89.
    5. Huang, Kuo S., 1993. "A Complete System of U.S. Demand for Food," Technical Bulletins 157046, United States Department of Agriculture, Economic Research Service.
    6. Bauer, Dana Marie & Sue Wing, Ian, 2010. "Economic Consequences of Pollinator Declines: A Synthesis," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 39(3), pages 1-16, October.
    7. Meyer, Bruce D. & Goerge, Robert M., 2011. "Errors in Survey Reporting and Imputation and Their Effects on Estimates of Food Stamp Program Participation," Contractor and Cooperator Reports 312394, United States Department of Agriculture, Economic Research Service.
    8. Burgstahler, Rebecca & Gundersen, Craig & Garasky, Steven B., 2012. "The Supplemental Nutrition Assistance Program, Financial Stress, and Childhood Obesity," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 41(1), pages 1-14, April.
    9. Bruce D. Meyer & Wallace K. C. Mok & James X. Sullivan, 2009. "The Under-Reporting of Transfers in Household Surveys: Its Nature and Consequences," Working Papers 0903, Harris School of Public Policy Studies, University of Chicago.
    10. repec:mpr:mprres:6601 is not listed on IDEAS
    11. Hanson, Kenneth & Golan, Elise H. & Vogel, Stephen J. & Olmsted, Jennifer, 2002. "Tracing The Impacts Of Food Assistance Programs On Agriculture And Consumers: A Computable General Equilibrium Model," Food Assistance and Nutrition Research Reports 33831, United States Department of Agriculture, Economic Research Service.
    12. repec:mpr:mprres:6935 is not listed on IDEAS
    13. Bauer, Dana Marie & Wing, Ian Sue, 2010. "Economic Consequences of Pollinator Declines: A Synthesis," Agricultural and Resource Economics Review, Cambridge University Press, vol. 39(3), pages 368-383, October.
    14. Jeffrey Reimer & Thomas Hertel, 2004. "Estimation of International Demand Behaviour for Use with Input-Output Based Data," Economic Systems Research, Taylor & Francis Journals, vol. 16(4), pages 347-366.
    15. Hanson, Kenneth, 2010. "The Food Assistance National Input-Output Multiplier (FANIOM) Model and Stimulus Effects of SNAP," Economic Research Report 262247, United States Department of Agriculture, Economic Research Service.
    16. Caroline Ratcliffe & Signe-Mary McKernan & Sisi Zhang, 2011. "How Much Does the Supplemental Nutrition Assistance Program Reduce Food Insecurity?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 93(4), pages 1082-1098.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Paul A. Lewin & Bruce A. Weber, 2020. "Distributional impacts of food assistance: How SNAP payments to the rural poor affect incomes in the urban core," Papers in Regional Science, Wiley Blackwell, vol. 99(5), pages 1281-1300, October.
    2. Weerasooriya, Senal A. & Reimer, Jeffrey J., 2016. "Effects of the Supplemental Nutrition Assistance Program on Rural and Urban Areas in Oregon," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235751, Agricultural and Applied Economics Association.
    3. Reimer, Jeffrey J. & Zheng, Xiaojuan, 2017. "Economic analysis of an aviation bioenergy supply chain," Renewable and Sustainable Energy Reviews, Elsevier, vol. 77(C), pages 945-954.
    4. Weerasooriya, Senal A. & Reimer, Jeffrey J., 2016. "General Equilibrium Analysis of the Farm Bill: SNAP versus Farm Programs," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 236076, Agricultural and Applied Economics Association.
    5. An Li & Jeffrey J. Reimer, 2021. "The US Market for Agricultural Labor: Evidence from the National Agricultural Workers Survey," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 43(3), pages 1125-1139, September.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. repec:ags:afjare:225656 is not listed on IDEAS
    2. Hudak, Katelin M. & Racine, Elizabeth F., 2021. "Do additional SNAP benefits matter for child weight?: Evidence from the 2009 benefit increase," Economics & Human Biology, Elsevier, vol. 41(C).
    3. Lorenzo Almada & Ian McCarthy & Rusty Tchernis, 2016. "What Can We Learn about the Effects of Food Stamps on Obesity in the Presence of Misreporting?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 98(4), pages 997-1017.
    4. Tiehen, Laura & Jolliffe, Dean & Gundersen, Craig, 2012. "How State Policies Influence the Efficacy of the Supplemental Nutrition Assistance Program in Reducing Poverty," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 124937, Agricultural and Applied Economics Association.
    5. Coleman-Jensen, Alisha & Rabbitt, Matthew & Gregory, Christian & Singh, Anita, 2022. "Household Food Security in the United States in 2021," Amber Waves:The Economics of Food, Farming, Natural Resources, and Rural America, United States Department of Agriculture, Economic Research Service, vol. 2022(Economic ), September.
    6. Coleman-Jensen, Alisha & Rabbitt, Matthew & Gregory, Christian & Singh, Anita, 2022. "Household Food Security in the United States in 2021," Amber Waves:The Economics of Food, Farming, Natural Resources, and Rural America, United States Department of Agriculture, Economic Research Service, vol. 2022(Economic ), September.
    7. Nguimkeu, Pierre & Denteh, Augustine & Tchernis, Rusty, 2019. "On the estimation of treatment effects with endogenous misreporting," Journal of Econometrics, Elsevier, vol. 208(2), pages 487-506.
    8. Peter R. Mueser & Colleen M. Heflin, 2013. "Aid to Jobless Workers in Florida in the Face of the Great Recession: The Interaction of Unemployment Insurance and the Supplemental Nutritional Assistance Program," Working Papers 1318, Department of Economics, University of Missouri.
    9. Tiehen, Laura & Jolliffe, Dean & Gundersen, Craig, 2012. "Alleviating Poverty in the United States: The Critical Role of SNAP Benefits," Economic Research Report 262233, United States Department of Agriculture, Economic Research Service.
    10. Benjamin Cerf Harris, 2014. "Within and Across County Variation in SNAP Misreporting: Evidence from Linked ACS and Administrative Records," CARRA Working Papers 2014-05, Center for Economic Studies, U.S. Census Bureau.
    11. Weerasooriya, Senal A. & Reimer, Jeffrey J., 2016. "Effects of the Supplemental Nutrition Assistance Program on Rural and Urban Areas in Oregon," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235751, Agricultural and Applied Economics Association.
    12. Coleman-Jensen, Alisha & Rabbitt, Matthew P & Gregory, Christian A & Singh, Anita, 2021. "Household Food Security in the United States in 2020," Economic Research Report 327186, United States Department of Agriculture, Economic Research Service.
    13. Elina T Page & Elizabeth Larimore & John A Kirlin & Mark Denbaly, 2019. "The National Household Food Acquisition and Purchase Survey: Innovations and Research Insights," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 41(2), pages 215-234, June.
    14. Coleman-Jensen, Alisha & Rabbitt, Matthew P & Gregory, Christian A & Singh, Anita, 2020. "Household Food Security in the United States in 2019," Economic Research Report 327207, United States Department of Agriculture, Economic Research Service.
    15. Julia Lane, 2018. "Building an Infrastructure to Support the Use of Government Administrative Data for Program Performance and Social Science Research," The ANNALS of the American Academy of Political and Social Science, , vol. 675(1), pages 240-252, January.
    16. Rabbitt, Matthew P. & Hales, Laura J. & Burke, Michael P. & Coleman-Jensen, Alisha, 2023. "Household Food Security in the United States in 2022," Economic Research Report 338945, United States Department of Agriculture, Economic Research Service.
    17. West, Tyler T. & Reimer, Jeffrey J., 2013. "Household and Intersectoral Effects of Reduced SNAP Expenditures: A Computable General Equilibrium Analysis," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 150410, Agricultural and Applied Economics Association.
    18. Coleman-Jensen, Alisha & Gregory, Christian & Singh, Anita, 2014. "Household Food Security in the United States in 2013," Economic Research Report 183589, United States Department of Agriculture, Economic Research Service.
    19. Fayaz Farkhad, Bita & Meyerhoefer, Chad D. & Dearden, James A., 2017. "The within-month pattern of medical utilization among SNAP participants," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258361, Agricultural and Applied Economics Association.
    20. Bilal Habib, 2018. "How CBO Adjusts for Survey Underreporting of Transfer Income in Its Distributional Analyses: Working Paper 2018-07," Working Papers 54234, Congressional Budget Office.
    21. Scherpf, Erik & Newman, Constance & Prell, Mark, 2014. "Targeting of Supplemental Nutrition Assistance Program Benefits: Evidence from the ACS and NY SNAP Administrative Records," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 174295, Agricultural and Applied Economics Association.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:arerjl:225656. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/nareaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.