GOP Idea: Variable Value Food Stamps

By Paul   07/14/09 04:20 AM

The first time this idea was floated in modern political memory was by Mike Huckabee during the Iowa primary campaign in 2007. The idea was not fleshed out operationally, but the goal and incentive was simple. The goal was to move people receiving food stamps into more healthy lifestyles by providing monetary incentives and penalties for food choices. His example was: if a person on food stamps bought fresh fruits or vegetables, $1 in food stamps could buy $1.25 in fresh produce. However, if the same person purchased a candy bar, that $1 would be worth .75.

This is exactly the kind of innovative thinking --- doing more good with a fixed amount of resources --- that is necessary to pull Republicans from policy doldrums. First, the program aligns incentives: if the person spends more on food, it is done on food that will lower their overall economic cost to society (through lower health care costs due to obesity). Conversely, if the person chooses to make bad decisions, there is an artificial limit on what damage they can do--- and taxpayers are not required to subsidize unhealthy decisions (at the same extent as a health lifestyle).

The point can be argued that the government should not be involving itself in the dietary decisions of individuals. However, if the government is providing food stamps, then taxpayers are already in the decision-making process --- and Republicans should work to make the program as cost-effective as possible. .

When discussing health care reform in Arkansas while he was governor, a brilliant reporter juxtaposed a conversation with Huckabee with one of an uninsured husband and wife, walking each through the problems of health care. At the end was the moment of truth, after the couple claimed that they wanted universal care because they had no health insurance. The reporter asked them what lifestyle changes they would make to improve their health. After it became clear that they would not make many, the reporter asked then-Governor Huckabee what he would do if a universal plan were implemented in Arkansas. He answered completely correctly: he would begin to use the power of government to start restricting diets. His logic was (and is) completely correct: as soon as the public is paying for your health care, your fellow taxpayers have the right (and elected officials an obligation) to ensure that those dollars are not wasted (and we know actions like overeating and avoiding exercise increase health costs). Thus, Huckabee reasoned, he had every right to begin to restrict the diets of those on a public plan. Then, just like today, when the couple was informed as to Huckabee's thinking --- they were no longer sure if government health care was the answer, if they were going to be required to give up some of their freedom.

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Reader Comments

  1. Posted by K. Magiera on Aug 22, 2009
    In an attempt to be practical, how would the state government regulate the food stamp purchases of a person/family actually work? Would the deductions/additions for good and poor choices be programmed into the store computers?

    Another point! What practices are in place or will be in place to prevent the sale of food stamps in exchange for cash?
  2. Posted by Johnathan Grant on Mar 8, 2010
    I think a standard scoring system like NuVal should be used. http://www.nuval.com/

    Essentially, if a food scores 100, it's really good for you, and probably a good idea to eat it often. But if something scores 0 or 1, it's best avoided for good health.

    So my idea would be, make each food stamp dollar worth the "bonus" amount for foods that score, say, 80+ or 90+, but worth the "penalty" amount for foods scoring less than, say, 30.

    The nice thing is that by having foods scored by an outside scientific 3rd party, the government isn't getting into the "food winners vs. losers" game, and food manufacturers can't unduly influence (i.e. pay off) anyone to get a better score.

    Perhaps, assuming someone besides NuVal offers a comparable scoring service, the government could even select two or three food scoring providers, who participating grocers (completely voluntarily) could choose to work with. Then those on SNAP (food stamps) could look at the scores while shopping, and decide what they want to buy accordingly.
  3. Posted by Paul on Mar 8, 2010
    Love the NuVal idea .... nongovernmental, but with a broad range of scoring (so there would be limited debate as to whether something is healthy .... on a 1-100 scale, you could quibble on a point or two, but still be directionally correct).