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Research ArticleArticles
Open Access

Price Consciousness at the Peak of “Impatience”

View ORCID ProfileMary Zaki and View ORCID ProfileJessica E. Todd
Journal of Human Resources, May 2023, 58 (3) 1003-1027; DOI: https://doi.org/10.3368/jhr.59.1.0121-11411
Mary Zaki
Mary Zaki is an assistant research professor in the Department of Agricultural and Resource Economics at the University of Maryland ().
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  • For correspondence: mzaki{at}umd.edu
Jessica E. Todd
Jessica E. Todd is an agricultural economist at the Economic Research Service of the United States Department of Agriculture (USDA) ().
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  • For correspondence: jessica.todd{at}usda.gov
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    Table 1

    Average Characteristics and Behaviors across the Benefit Month

    First Half of SNAP MonthSecond Half of SNAP MonthDifferenceN
    At least one food-at-home event over 7 days    0.91  0.92−0.02
    (0.03)
    1,548
    Total spending at food-at-home events146.5981.6164.98***
    (5.28)
    1,304
    Total spending on food-at-home food items122.3161.9360.38***
    (5.37)
    1,304
    Total food-away-from-home spending  33.72  37.09−3.37
    (4.43)
    1,304
    Number of people at residence, excluding guests    3.02    2.89    0.13
    (0.16)
    1,304
    Number of children in household    1.14    1.02    0.13
    (0.12)
    1,304
    Number of seniors (age ≥65) in household    0.16    0.25−0.09**
    (0.04)
    1,304
    Rural tract    0.28    0.31−0.03
    (0.04)
    1,304
    SNAP last received (including estimated amounts)262.19250.2611.92
    (16.63)
    1,298
    Household average (monthly) income2,070.602,180.88−110.28
    (240.35)
    1,304
    Total income as percent of poverty guideline123.16138.83−15.67
    (13.38)
    1,304
    Household has a car or access to a car when needed    0.69    0.73−0.04
    (0.04)
    1,304
    Number of supermarkets/superstores within 0.5 miles of household    0.64    0.52    0.12
    (0.10)
    1,304
    Miles to nearest SNAP-authorized supermarket/superstore    2.10    1.96    0.14
    (0.57)
    1,304
    • Source: Authors’ estimates using FoodAPS data.

    • Note: 1,548 SNAP households had a nonmissing date of last SNAP receipt and reported on shopping, including confirming no shopping occurrences. Of those households, 1,304 shopped at least once during the survey week. First Half of SNAP Month = at least one survey day occurs less than seven days since SNAP was last received.

    • View popup
    Table 2

    Price Index by Timing in SNAP Month

    All FoodsFoods Commonly Bought throughout the SNAP Month
    UPC Price Index
    (1)
    UPC Price Index
    (2)
    Food Category Price Index
    (3)
    Food Category Price Index
    (4)
    UPC Price Index
    (5)
    UPC Price Index
    (6)
    Food Category Price Index
    (7)
    Food Category Price Index
    (8)
    First half of SNAP month−0.020***
    (0.004)
    −0.019***
    (0.004)
    −0.010***
    (0.002)
    −0.011***
    (0.001)
    −0.021***
    (0.002)
    −0.022***
    (0.002)
    −0.050***
    (0.002)
    −0.051***
    (0.002)
    Observations1,0311,0311,3041,3039689681,2831,282
    Demographics/food environment controlsNoYesNoYesNoYesNoYes
    • Source: Authors’ estimates using FoodAPS data and the FoodAPS IRI subset.

    • ↵Notes: Significance: *p < 0.10, **p < 0.05, ***p < 0.01. Survey weights applied in estimation and standard errors (in parentheses) adjust for complex survey design. First Half of SNAP Month = at least one survey day occurs less than seven days since SNAP was last received. Columns 1–2 and 5–6 have as outcome variables price indexes that use UPC–week–local region IRI price data to compute average price for a good. Columns 3–4 and 7–8 have as outcome variables price indexes that use food category–month–psu FoodAPS survey price data to compute average price for a good. All regressions include controls for PSUs. Demographic and food environment controls include indicator for the household reference person being Black, of other non-Hispanic nonwhite race/ethnicity, household size, number of children in the household, number of household members over age 60, number of household members employed, household monthly income, an indicator for owning/leasing a car or having access to a car when needed, household living in a rural census tract, number of supercenters and superstores within 0.5 miles of the home, and distance to the nearest supercenter or superstore. Categories in which foods are commonly bought throughout the SNAP month are those where at least 30 percent (the median observed share across all categories) of households purchased an item in that category in both the first and second half of the SNAP month. See Online Appendix Table 5 for a list of the food categories that meet this definition.

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    Table 3

    Prices of Purchased Goods in Subsequent Weeks

    All FoodsFoods Commonly Bought throughout the SNAP MonthFoods More Commonly Bought in the First Half of the SNAP MonthFoods Less Commonly Bought in Either Half of the SNAP Month
    Purchased First Half of SNAP Month
    (1)
    Purchased Second Half of SNAP Month
    (2)
    Purchased First Half of SNAP Month
    (3)
    Purchased Second Half of SNAP Month
    (4)
    Purchased First Half of SNAP Month
    (5)
    Purchased Second Half of SNAP Month
    (6)
    Purchased First Half of SNAP Month
    (7)
    Purchased Second Half of SNAP Month
    (8)
    t +1 week−0.008
    (0.008)
    −0.014**
    (0.005)
    −0.003
    (0.012)
    −0.010+
    (0.006)
    −0.015**
    (0.006)
    −0.013+
    (0.008)
    0.003
    (0.010)
    −0.020*
    (0.011)
    t + 2 weeks0.017**
    (0.007)
    −0.002
    (0.006)
    0.034**
    (0.015)
    0.006
    (0.005)
    −0.004
    (0.005)
    0.008
    (0.009)
    0.018
    (0.022)
    −0.004
    (0.009)
    t + 3 weeks0.022**
    (0.009)
    0.002
    (0.006)
    0.031*
    (0.016)
    0.008
    (0.006)
    0.008+
    (0.005)
    0.007
    (0.011)
    0.012
    (0.014)
    0.003
    (0.009)
    Observations1,4201,6601,3361,4361,1521,1761,0161,060
    • Source: Authors’ estimates using FoodAPS data and the FoodAPS IRI subset.

    • ↵Notes: Significance: +p < 0.15, *p < 0.10, **p < 0.05, ***p < 0.01. Survey weights applied in estimation and standard errors (in parentheses) adjust for complex survey design. First Half of SNAP Month = at least one survey day occurs less than seven days since SNAP was last received. Categories in which foods are commonly bought throughout the SNAP month are those where at least 30 percent (the median observed share across all categories) of households purchased an item in that category in both the first and second half of the SNAP month. Categories in which foods are more commonly bought in the first half of the SNAP month are those where at least 30 percent of households purchased an item in that category in the first half of the SNAP month but less than 30 percent of households purchase an item from that category in the second half of the SNAP month. Categories in which foods are less commonly bought in either half of the SNAP month are those where less than 30 percent of households purchased an item in that category in both the first and second half of the SNAP month. See Online Appendix Table 5 for a list of the two-digit food categories that meet these definitions.

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    Table 4

    Prices of Purchased Goods in Subsequent Weeks

    Thrifty Food Plan IndexSNAP Households in States with Compressed Benefit Distribution SchedulesNon-SNAP Households: <185% Poverty Guideline in States with Compressed Benefit Distribution SchedulesNon-SNAP Households: >185% Poverty Guideline in States with Compressed Benefit Distribution Schedules
    Purchased First Half of SNAP Month
    (1)
    Purchased Second Half of SNAP Month
    (2)
    Surveyed within Benefit Distribution Dates
    (3)
    Surveyed outside of Benefit Distribution Dates
    (4)
    Surveyed within Benefit Distribution Dates
    (5)
    Surveyed outside of Benefit Distribution Dates
    (6)
    Surveyed within Benefit Distribution Dates
    (7)
    Surveyed outside of Benefit Distribution Dates
    (8)
    t +1 week0.002
    (0.004)
    0.007
    (0.006)
    −0.005
    (0.006)
    −0.023**
    (0.008)
    0.004
    (0.010)
    −0.011
    (0.009)
     −0.024***
    (0.006)
     −0.019**
    (0.008)
    t +2 weeks0.001
    (0.003)
    0.002
    (0.004)
    0.016
    (0.011)
    0.005
    (0.010)
    0.029**
    (0.013)
    0.012**
    (0.004)
    −0.006
    (0.007)
    −0.003
    (0.007)
    t + 3 weeks−0.003
    (0.004)
    0.008*
    (0.004)
    0.024**
    (0.011)
    0.008
    (0.013)
    0.019
    (0.017)
    0.020**
    (0.008)
    0.006
    (0.009)
    0.005
    (0.006)
    Observations1,7322,0526767884687209801,324
    • Source: Authors’ estimates using FoodAPS data and the FoodAPS IRI subset.

    • Notes: Authors’ calculations using data from the National Food Acquisition and Purchase Survey, the IRI FoodAPS subset, and data from the SNAP Distribution Schedule Database (https://www.ers.usda.gov/data-products/snap-policy-data-sets/, accessed November 15, 2022). Survey weights applied in estimation and standard errors (in parentheses) adjust for complex survey design. Significance:

    • ↵* p < 0.10,

    • ↵** p < 0.05,

    • ↵*** p < 0.01. First Half of SNAP Month = at least one survey day occurs less than seven days since SNAP was last received. States with compressed SNAP benefit distribution schedules are defined as states that distribute all SNAP benefits within ten or fewer consecutive days in the month. Within Benefit Distribution Dates = at least one survey day occurs within the state benefit distribution window.

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    Table 5

    Proxies for Shopping Effort across the Benefit Month

    First Half of SNAP MonthSecond Half of SNAP MonthDifferenceN
    Seven-day volume index  1.07  0.94  0.13***
    (0.03)
    1,304
    Event volume index  1.06  0.95  0.10***
    (0.02)
    1,304
    Total food-at-home and food-away-from-home events11.4911.06  0.43
    (0.77)
    1,304
    Total food-at-home trips  4.03  4.02  0.01
    (0.19)
    1,304
    Total food-at-home trips excluding free events  3.80  3.61  0.19
    (0.18)
    1,304
    Total large-volume stores trips excluding free events  2.75  2.33  0.42***
    (0.13)
    1,304
    Conditional visits per store—food-at-home events  1.63  1.58  0.05
    (0.06)
    1304
    Conditional visits per store—not-free food-at-home events  1.66  1.56  0.10
    (0.07)
    1,303
    Conditional visits per store—not-free large-volume stores  1.69  1.58  0.11*
    (0.06)
    1,217
    Number of unique stores—food-at-home events  2.66  2.69−0.03
    (0.15)
    1,304
    Number of unique stores—not-free food-at-home events  2.46  2.43  0.03
    (0.13)
    1,303
    Number of unique stores—not-free large-volume stores  1.79  1.65  0.14**
    (0.07)
    1,217
    Number of days with at least one food-at-home event  2.92  2.89  0.03
    (0.10)
    1,304
    Number of days with at least one not-free food-at-home event  2.79  2.65  0.14
    (0.10)
    1,304
    Number of days with at least one not-free large-volume stores event  2.18  1.89  0.29**
    (0.11)
    1,304
    Receipt savings  1.61  0.96  0.65**
    (0.30)
    1,304
    Percent savings of receipt total  0.01  0.01−0.00
    (0.00)
    1,304
    Observed coupon use (transaction or item level) on receipt  0.23  0.13  0.10**
    (0.04)
    1,304
    Share of all expenditures on large items  0.39  0.39−0.00
    (0.02)
    1,273
    Share of all items purchased that were in large packages  0.29  0.32−0.03*
    (0.02)
    1,282
    • Source: Authors’ estimates using FoodAPS data and the FoodAPS IRI subset.

    • Notes: Survey weights applied in estimation and standard errors (in parentheses) adjust for complex survey design. Significance:

    • ↵* p < 0.10,

    • ↵** p < 0.05,

    • ↵*** p < 0.01. First Half of SNAP Month = at least one survey day occurs less than seven days since SNAP was last received.

    • View popup
    Table 6

    Bulk Savings

    Items Purchased in First Half of SNAP MonthItems Purchased in Second Half of SNAP Month
    Mean percent cost increase for replacing relatively larger items with smallest sizes10.2%11.1%
    Mean percent cost increase for replacing relatively larger items with median sizes5.1%6.0%
    Mean percent cost increase for replacing only largest sizes with smallest sizes5.3%5.2%
    Mean percent cost increase for replacing only largest sizes with median sizes3.0%3.9%
    Observations364419
    • Source: Authors’ estimates using FoodAPS data and the FoodAPS IRI subset.

    • Notes: Survey weights applied in estimation of means to adjust for complex survey design. First Half of SNAP Month = at least one survey day occurs less than seven days since SNAP was last received.

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Price Consciousness at the Peak of “Impatience”
Mary Zaki, Jessica E. Todd
Journal of Human Resources May 2023, 58 (3) 1003-1027; DOI: 10.3368/jhr.59.1.0121-11411

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Price Consciousness at the Peak of “Impatience”
Mary Zaki, Jessica E. Todd
Journal of Human Resources May 2023, 58 (3) 1003-1027; DOI: 10.3368/jhr.59.1.0121-11411
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  • Article
    • ABSTRACT
    • I. Introduction
    • II. Data and Sample
    • III. Benefit Month Price Analysis
    • IV. Shopping Efforts across the Benefit Month
    • V. Discussion and Conclusion
    • Footnotes
    • References
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