Publication Type

Journal Article

Publication Date

7-2011

Abstract

We construct a model to illustrate that the current food stamp subsidy scheme fails to achieve its stated aim due to the crowding-out effect. More specifically, if the household income is sufficiently low, only a corner solution exists, and a full subsidy is needed.

Keywords

Food stamp subsidy scheme, Crowdingout, Corner solution

Discipline

Behavioral Economics

Research Areas

Applied Microeconomics

Publication

Economics Letters

Volume

112

Issue

1

First Page

1

Last Page

2

ISSN

0165-1765

Identifier

10.1016/j.econlet.2011.02.028

Publisher

Elsevier

Creative Commons License

Creative Commons Attribution-Noncommercial-No Derivative Works 4.0 License
This work is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 4.0 License.

Additional URL

http://doi.org/10.1016/j.econlet.2011.02.028

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