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What the research says about the economics of early care and education

Summary

Despite the important role that child care plays in
the lives of many U.S. families, the private child
care market is not meeting their needs. This is not
just an issue for families with young children in the United
States—accessible, affordable, and high-quality care also
has the potential to generate substantial economic activity
and growth that benefits the entire economy.

Public investments in child care can help eliminate the drag
on growth that the lack of child care options creates. These
investments, in turn, facilitate economic gains for families,
businesses, and the U.S. economy as a whole.

This factsheet will review the research on the short- and
long-term economic growth potential of a high-quality,
accessible, and affordable early care and education system
as well as the evidence supporting greater public investment
in this market. For more information, see Equitable Growth’s
companion report on the child care economy.

 

Source: Equitable Growth (2021). What the research says about the economics of early care and education.