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How long do healthy habits last? The role of prices

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  • Hinnosaar, Marit

Abstract

When a policy gives temporary incentives for healthy behaviors, how long does the impact last? I study the U.S. Special Supplemental Nutrition Program for Women, Infants, and Children, which gives vouchers for healthy foods. Using household-level scanner data, I find that the effect of the program diminishes when households become ineligible. Demand model estimates show that price differences between healthy and unhealthy foods play a large role in the decrease of the program's impact. The estimates imply that the program has a persistent effect, in that it increases the impact of subsequent policies like subsidies on healthy foods.

Suggested Citation

  • Hinnosaar, Marit, 2018. "How long do healthy habits last? The role of prices," CEPR Discussion Papers 12815, C.E.P.R. Discussion Papers.
    • Handle: RePEc:cpr:ceprdp:12815
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    More about this item

    Keywords

    Consumer behavior; Dietary choices; Long-term policy effects;
    All these keywords.

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • L66 - Industrial Organization - - Industry Studies: Manufacturing - - - Food; Beverages; Cosmetics; Tobacco
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs

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