The Objective Of Differential Pricing

Food stamps are an important component of low-income families’ monthly resources, increasing the chances that families are able to meet basic needs (Ratcliffe, McKernan & Finegold, 2008). This form of food relief dates back to the Great Depression when many Americans lost their jobs and did not have money to feed their families. People were starving while farmers produced abundant crop that could not be sold due to a lack of consumers with buying power (Dorsch, 2013). The Federal Surplus Relief Corporation which was a part of the Agricultural Adjustment Act, bought basic farm goods at low prices and distributed the among hunger relief agencies in different states and local communities (Congressional Digest, 2013).

Although the Food Stamp Program is universal and selective, it is a great program to help the poor. Patti Landers (2007) stated: to be qualified for Food Stamps, “households [members] must have gross and net incomes below 130% and 100% of the poverty threshold, respectively” (p. 1946). Another study from the Florida Food Stamp Program also stated that “Family groups must have income and assets below the program standards, which includes meeting the poverty guideline of the federal government” (Program Description). It also says that family must cooperate with Child Support Enforcement agencies and food stamp participants must be a citizen of the United States or a holder of a registration alien card and they must be a resident of the

SNAP is the foundation of nutrition assistance programs. This program provides over 47 million individuals in nearly 23 million low-income households. The eligibility is not restricted to certain groups of individuals, and because of this, SNAP serves a vast amount of families with children, elderly people, and individuals with disabilities. Others eligible for SNAP include families with adults who work in low-wage jobs, unemployed workers, and those with a fixed income. The SNAP Program assists about 72 percent of people who live in households with children. Nearly 25 percent of households with seniors and individuals with disabilities, are also assisted (Rosenbaum, 2013).

Those people who live in poverty are eligible for public services that are provided to them to help them survive. It is often a misconception these people take advantage of the public system to receive benefits and welfare that they do not need. While it is true that there many be some people who do not need these benefits and still take advantage of them, there are also many families, who do in fact need the help of public assistance, and do not use it. Many families, who qualify for public assistance such as food stamps, do not receive them. A startling two-thirds of people who qualify for public assistance, such as food stamps, do not use these benefits . One reason for this may be that these families do not truly feel they are as impoverished as they really are. Another reason could be the possibility that these families do not know they will qualify for these programs .

There is a lot of information about EBT Cards and food stamps amongst the internet. Many different websites offer a plethora of information, Really one for every state because all of the programs are different in every state. My hardest source to collect information from was books. I found many books providing information about food but none mentioning anything about the food stamp program.

Food Stamps are provided for many families in the hope that these families will not starve and can put filling, nutritious food on the table. According to the Food Stamp Act of 1977, this program was enacted to ““to alleviate hunger and malnutrition … by increasing food purchasing power for all eligible households who apply for participation.” (usda.gov, 2013) Recipients can use these just like regular cash at any local grocery store. They also may receive Medicaid. This program provides for many the medical treatment they would not be able to afford otherwise. This is especially true for children and pregnant women below the poverty line.

Supplemental Nutrition Assistance Program (SNAP) is a government program for low-income individuals and families which allows them to receive nutrition assistance. Previously known as the Federal Food Stamp Program, SNAP was renamed in 2008 to fight stigma of those who participate in the program. The first food stamp program can date back to 1939 and was created by Milo Perkins who was able to see a solution for both farmers who had surpluses of crops and the undernourished population within the town.

According to Reuters, approximately 47 million people receive Food Stamps. That equates to 1 in 8 Americans (Abbott). Food Stamps is away to supplement those who are having trouble finding jobs and supporting their families. There are individuals who take it for granted, and abuse the system. Many people apply yearly for assistance, but get turned away because their case is insufficient, or there is simply not enough room to accommodate them. According to an article, states that since Food Stamps are running out of funds and people are turning to food banks for support (Food Assistance Becoming the "New Normal). Food banks are designed for extreme measures such a natural disaster, extreme weather conditions, and the homeless.

Firstly from my prior knowledge I know that Food Stamps are a system of aid used in the United States of America for families that require benefits as a method of surviving hard times. From the cashier’s reaction in the story of “she sneers as Manna pays her with many coloured food stamps”, I am able

President Lyndon Johnson first introduced food stamps in his term of office in 1964, because he saw food stamps as "a realistic and responsible step toward the fuller and wiser use of an agricultural abundance," Frederic N. Cleaveland, Congress and Urban Problems (New York: Brookings Institution, 1969, p. 305) but revision had to be made. Therefore, food stamps have been around since 1977 when the food stamp provision of the Food and Agriculture Act of 1977 made changes to eliminate purchase requirements and simplify eligibility. The eligibility for purchase with food stamps of all items intended for food consumption excluding alcoholic beverages, and where simplified eligibility included; established statutory income eligibility guidelines at the poverty line, raising the general resource limit to $1,750, and eliminating the requirement of households having a cooking complex. Changes of the new program included fraud disqualifications, enhanced Federal funding for States' anti-fraud activities, and financial incentives for low error rates. But in

For instance, some people who receive food stamps are most likely cheating the system. Some cases have been investigated, come to find out, some people have been receiving food stamps, but have been working under the table. Making enough money to pay rent, pay their light bill and buy food. This is called food stamp fraud. Some consequences can be discontinuing their food stamp account for a specified amount of time. Some people get charges at a misdemeanor or felony level, or possibly facing one year in jail and a fine to pay. If the fraud was involving large amounts of money, that accused person could be facing five years in prison, several years of probation, or an even bigger fine. The positive thing about this is, most people get caught. Therefore, they do not have to worry about very many people trying to get over on the

Supplemental Nutrition Assistance Program (SNAP), formerly known as food stamps, is a government program to help its participants buy food. The amount of money issued each month is calculated by income, number of people in household, and other factors. SNAP benefits create a way for people to eat. But it also helps people in more ways than just filling their stomachs. And yet, there are those who do not see the benefits in continuing this program. If you have never experienced having to use government benefits just to survive day to day, that view is your luxury. Food is important to your health, and when you are not getting the proper nutrients, your health suffers.

In an effort to aid with the hunger in the United States, the federal government offers and assistance program call Supplemental Nutrition Assistance Program (SNAP). The program was originally called the Food Stamp Program. SNAP provides financial benefits to eligible recipients in order for them to purchase food at supermarkets or various stores for themselves and their family to partake in at home. The amount of benefits is calculated based on the household income and the number of household members. SNAP has shown to help decrease food insecurity in the United States. (Colson, 2015). As of October 2016, there were 21,328,525 households in the United States that participated in receiving benefits from SNAP program. In just Alabama, there were 385, 902 household that received supplemental nutrient assistance. (USDA,

Moving on towards the various pricing strategies, the first pricing strategy is the differential pricing. This is to charge different prices to different target markets, which is usually not considered illegal in the case of services. The prices charged differ according to the types of customers being served for example children and disabled people usually get a discount on ticket prices.

Price discrimination can be defined as when the same good or service is sold at different prices to different consumers. If we look at this definition of price discrimination, for an example, we can show that price discrimination can be seen in the entrance tickets of parks such as Universal studios; this is due to the fact that there are discounts for children and senior citizens. (Phlips L. , 1983) However, this can be seen as not being discriminative at all due to the fact that if the price difference full reflects the difference in the cost of carrying the good from the seller’s location to the buyers’ location.