Quality is free: A cost-benefit analysis of early child development initiatives
D Trefler
High-quality early child development initiatives are expensive.
However, careful analysis of the returns on investment for such initiatives
establishes that, from the government's perspective, the initiatives
all but pay for themselves. The explanation for this is twofold.
First, early childhood interventions enhance adult employability and
earnings of program participants. This generates $8.2 billion in tax
revenues that partially offset program costs. Second, early childhood
interventions reduce the need for expensive remedial programs such as
special education and medical treatment, reducing government expenditures
by $4.9 billion.
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