Question: SNAP benefits are phased out in a complicated fashion that
SNAP benefits are phased out in a complicated fashion that varies from state to state. However, at some point near the poverty line, SNAP benefits worth about $ 1,250 are suddenly lost. Ignoring other aspects of the tax and transfer systems, sketch the income leisure budget constraint associated with this provision. (Don’t worry about the specific slope and intercept of the constraint; just sketch the general shape.)
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