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With food stamps Without food stamps $153 The less poor households were required to pay more, say $83, for $153 of food stamps. Then the

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With food stamps Without food stamps $153 The less poor households were required to pay more, say $83, for $153 of food stamps. Then the slope up to x,=$/53 becomes steeper than the above case. Q2: Can you calculate the slope to show this? Add the corresponding budget line in figure 2.6 for comparison. If a household receives a grant of $200 food stamps and cannot sell them for cash to buy other goods, then it can consume $200 more food and the maximum amount it can spend on other goods does not change. The budget set will change in the following way in figure 2.7: With food stamps Without food stamps $200

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