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Unpacking 13 Percent ROI on Early Investments

IMG 1884 resizedInvestments in early childhood that focus on children age 0-5 can yield a 13 percent return. Talking with Marina Merrill, Children's Institute's senior research and policy advisor, we examine the results of a recent paper from James Heckman called The Life-Cycle Benefits of an Influential Early Childhood Program. Heckman, professor of economics at the University of Chicago and Nobel Prize winner, looks at two programs in North Carolina that began in the 1970s and details positive outcomes in education, health, social behaviors, and employment.  

Segment Highlights

0:38 The importance of starting at birth

1:00 Programs deliver a 13 percent return

1:23 Longitudinal analysis reveals broad impacts of 0-5 investments  

2:06 Short-term studies have a different purpose compared to ROI studies

3:03 Learning from Tennessee about K-3 outcomes with a focus on quality improvement

4:11 Early education works and can produce long-term gains

4:54 Hard to find a better return on investment compared to any other social program

5:32 Cost per child compared to social impacts

6:05 Oregon's cost for preschool

6:23 Oregon spends a lot per child, has limited access to programs, and has high program quality

7:50 Stay tuned for more research analysis from Children's Institute





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