Effect of SNAP on Food Consumption in Low-Income Workforce

Executive Summary
In order to understand the effect of social programs on the target population it is often crucial to
determine the effect of the program on the population before and after administration of the program.
Using a Regression Discontinuity Design, this research explores the effect of Supplemental Nutrition
Assistance Program (SNAP) on weekly food consumption in the United States’ low-income workforce.
The research aims to answer the question as to whether there exists a relationship between the treatment
and control variables as well as the interaction effect and if it does, what kind of relationship
From the results, at 0.05 level of significance, we reject the null hypothesis of no difference between the
means of expenditure on food between the beneficiaries of SNAP and Non-SNAP beneficiaries and
conclude that there is significant relationship between the overall effect of SNAP in the United States and
when using the multiple regression model we realize that there exists a positive relationship where an
increase in $1 million expenditure in the SANP program leads to an increase weekly food consumption
by approximately $1914.36 implying that the SNAP program influences both the taste of food
consumption among recipients of the social program and amount of food consumed from the consumer
stores. However, when analyzing the effect of SNAP state wise, some states food consumption is not
influenced by SNAP participation.

Contents
Executive Summary.........................................................................................................................1
Contents...........................................................................................................................................2
Introduction......................................................................................................................................3
SNAP...........................................................................................................................................4
Eligibility.....................................................................................................................................4
Research Objective......................................................................................................................4
Research questions...................................................................................................................5
Limitations...................................................................................................................................5
Methodology....................................................................................................................................5
Regression Discontinuity Design............................................................................................5
Assumptions of RDD...............................................................................................................6
Instruments..................................................................................................................................7
Data..............................................................................................................................................7
Hypotheses...................................................................................................................................8
Null Hypothesis 1....................................................................................................................8
Alternative Hypothesis............................................................................................................8
Results and Discussion....................................................................................................................9
Results..........................................................................................................................................9
Regression Discontinuity.........................................................................................................9