Revising income eligibility for the national school lunch program: Evidence from indifference scales for households with children

Abstract The National School Lunch Program, the largest child nutrition initiative in the United States, provides free or reduced‐price lunches to low‐income children. However, the current eligibility criteria are based on household‐level metrics, potentially causing bias that does not adequately protect children in need. Using data from the US Consumer Expenditure Survey spanning from 2015 to 2022 and the concept of indifference scales, this study develops an alternative eligibility criterion tailored specifically for children. Our results indicate that the eligibility thresholds for free and reduced‐price lunches for households with three and four children should be increased by at least 11%, assuming the current threshold for a one‐child household is correct. This highlights the broader policy value of adjusting household‐based eligibility standards to better reflect individual needs across social programs.