This study uses calendar year 2011 point-of-sale transaction data from a leading grocery retailer to examine the food choices of SNAP and non-SNAP households . On average, each month's transaction data contained over 1 billion records of food items bought by 26.5 million households in 127 million unique transactions.

This study examined the feasibility of creating a data collection system capable of directly and automatically providing USDA with item-level data on purchases made by SNAP households. Data would be captured at the point of sale from purchases made using EBT cards.

This study identifies how spending patterns, such as the rate at which households spend their benefit, changed following the ARRA benefit increase and analyzes how spending patterns differed across household characteristics, time and states.

A fundamental issue in the design of the Food Stamp Program (FSP) is the form benefits should take. Advocates of the current coupon system argue that coupons are a direct and inexpensive way to ensure that food stamp benefits are used to purchase food; that, despite some evidence of fraud and benefit diversion under the current system, the unauthorized use of food stamps is relatively limited; and that coupons provide some measure of protection to food budgets from other demands on limited household resources. Advocates of replacing coupons with cash argue that the current system limits the food purchasing choices of participants, places a stigma on participation; and entails excessive costs for coupon issuance, transaction, and redemption.