US to Expand Food Stamp Program As America Prepares For Surge In Hunger

04-06-2011 • ZeroHedge.com

And the funniest thing about the release, if one can call the progressive conversion of America to an improverished country funny, is the math provided by the USDA to justify the expansion of SNAP. SNAP benefits, which are provided to recipients electronically, also provide an economic stimulus that strengthens communities. Research shows that every $5 in new SNAP benefits generates as much as $9.00 in economic activity. SNAP benefits move quickly into local economies, with 97 percent of SNAP benefits redeemed within a month. It is estimated that at least 8,900 full-time equivalent jobs are created from $1 billion of SNAP benefits. So according to this Keynesian version of a perpetual engine, if only all of America's 330 million were to start collecting foodstamps, the benefit to the economy would essentially be 80%. As for the efficiency of the SNAP program, dividing $1 billion by 8,900 jobs, means that each job ends up costing a modest $112,360. That's government efficiency for you.