State Welfare Card: Perspectives from the Budget Line in Economic

Abstract

This article aims to present perspectives on the state welfare cards program through economics budget line analysis. Conditions for spending on purchases via the card that cannot be withdrawn in cash make the budget line different from the normal budget line. If considering the real world where pricing differs between stores (comparison of government welfare stores with other general stores) and consumers, they may save by converting the rights granted by the welfare card to savings. This affects the changes in the budget line and the purchasing power of consumers in different ways. However, income gains still provide consumers with better welfare than without the government subsidy program. As well as to prevent merchants from taking advantage of consumers in raising product prices and not reducing the effectiveness of government projects, relevant government agencies may facilitate by preparing easy-to-understand product information and price lists for consumers and asking participating stores to display price tags clearly. Including assigning staff or volunteers in each community area to inspect the prices of goods.