The purpose of this study is to identify whether spending more money on food leads SNAP and other low-income households to purchase and consume more nutritious foods. Specifically, the study analyzed the percentage and absolute change in diet-quality measures that are associated with a 10-percent increase in food expenditures for SNAP participants and income-eligible nonparticipants. The study also seeks to identify other factors or household characteristics that may affect this relationship.

This report compares spending patterns across consumption categories for Supplemental Nutrition Assistance Program (SNAP) households, eligible nonparticipating households, and ineligible households with incomes between 130 and 300 percent of poverty. It also estimates how small increases in income are allocated across consumption categories, analyzes how SNAP eligibility might change under an expenditure-based poverty threshold, and explores the use of savings and credit across the three participation and eligibility groups.