Working Paper: NBER ID: w21766
Authors: Sneha Elango; Jorge Luis Garcia; James J. Heckman; Andrés Hojman
Abstract: This paper organizes and synthesizes the literature on early childhood education and childcare. In it, we go beyond meta-analysis and reanalyze primary data sources in a common framework. We consider the evidence from means-tested demonstration programs, large-scale means-tested programs and universal programs without means testing. We discuss which programs are beneficial and whether they are cost-effective for certain populations. The evidence from high-quality demonstration programs targeted toward disadvantaged children shows beneficial effects. Returns exceed costs, even accounting for the deadweight loss of collecting taxes. When proper policy counterfactuals are constructed, Head Start has beneficial effects on disadvantaged children compared to home alternatives. Universal programs benefit disadvantaged children.
Keywords: Early Childhood Education; Childcare; Disadvantaged Children; Cost-Effectiveness
JEL Codes: C93; I28; J13
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Alternative childcare options (J13) | Underestimated effects of programs like Head Start (I21) |
| High-quality early childhood education programs (I21) | Significant improvements in cognitive skills (I25) |
| High-quality early childhood education programs (I21) | Significant improvements in non-cognitive skills (D29) |
| High-quality early childhood education programs (I21) | Improvements in achievement test scores (I24) |
| High-quality early childhood education programs (I21) | Improvements in conscientiousness (D91) |
| High-quality early childhood education programs (I21) | Social and economic returns that exceed costs (H43) |