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Capping Nutritional Assistance in the Supplemental Poverty Measure

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Working Paper Number: 2020-17

This paper develops a methodology and investigates the potential impact of capping nutritional assistance benefits in the estimation of Supplemental Poverty Measure (SPM) resources. This paper finds that capping nutritional assistance programs in resources at their corresponding share in thresholds would increase the overall SPM poverty rate by less than 0.1 percentage points in 2018. However, the impact of capping would disproportionately impact certain demographic groups, including families with children, renters, and individuals who live in the South. Furthermore, we find that capping nutritional assistance benefits in SPM resources could fail to capture the efforts of states to address the current economic recession by expanding access to nutritional assistance programs.

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