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Home > New research: Free, all-day early care sets families on a better financial trajectory

New research: Free, all-day early care sets families on a better financial trajectory [1]

Families who access free, full-day, universal early care earn more—for years to come
Author: 
Yale Tobin Center for Economic Policy
Source: 
Yale Tobin Center for Economic Policy
Format: 
Article
Publication Date: 
10 Oct 2024
AVAILABILITY
Access online [2]
Access infographic online [PDF] [3]

Excerpts

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Researchers find the earnings gains for admitted families are high and last long after the completion of pre-K. They identify the three key elements of care that unlocked these earnings gains: it was free, offered at times that match typical work days, and was not means tested. In terms of return on public investment, as seen in the figure below, researchers state: “Our main finding is that UPK is one of the most cost-effective active labor market policies ever evaluated in the U.S.”

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The incremental cost increases of work-enabling care offer high return on public investment. The study demonstrates that care policies designed to maximize economic opportunities align with providing high-quality childcare and promoting child welfare. It is the most instructive study to date on what aspects of care most effectively enhance earnings:

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This research provides the most definitive evidence to date on the positive impact of non-means-tested, free, all-day pre-K on family economic outcomes.

Related link: 
Parents' earnings and the returns to the universal pre-kindergarten [4]
Region: 
United States [5]
Tags: 
economics [6]
investment [7]
labour force participation [8]

Source URL (modified on 29 Oct 2024):https://childcarecanada.org/documents/research-policy-practice/24/10/new-research-free-all-day-early-care-sets-families-better

Links
[1] https://childcarecanada.org/documents/research-policy-practice/24/10/new-research-free-all-day-early-care-sets-families-better [2] https://tobin.yale.edu/news/241010/new-research-free-all-day-early-care-sets-families-better-financial-trajectory [3] https://tobin.yale.edu/sites/default/files/publication-documents/2024-10/Yale Tobin Center - Pre-K Infographic.pdf [4] https://childcarecanada.org/documents/research-policy-practice/24/10/parents-earnings-and-returns-universal-pre-kindergarten [5] https://childcarecanada.org/taxonomy/term/7865 [6] https://childcarecanada.org/category/tags/economics [7] https://childcarecanada.org/category/tags/investment [8] https://childcarecanada.org/taxonomy/term/8923