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Age 26 Cost–Benefit Analysis of the Child‐Parent Center Early Education Program
Author(s) -
Reynolds Arthur J.,
Temple Judy A.,
White Barry A. B.,
Ou SuhRuu,
Robertson Dylan L.
Publication year - 2011
Publication title -
child development
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 3.103
H-Index - 257
eISSN - 1467-8624
pISSN - 0009-3920
DOI - 10.1111/j.1467-8624.2010.01563.x
Subject(s) - earnings , liberian dollar , psychology , rate of return , revenue , cohort , cost–benefit analysis , program evaluation , demography , gerontology , actuarial science , economics , medicine , finance , political science , sociology , public administration , law
Using data collected up to age 26 in the Chicago Longitudinal Study, this cost–benefit analysis of the Child‐Parent Centers (CPC) is the first for a sustained publicly funded early intervention. The program provides services for low‐income families beginning at age 3 in 20 school sites. Kindergarten and school‐age services are provided up to age 9 (third grade). Findings from a complete cohort of over 1,400 program and comparison group participants indicated that the CPCs had economic benefits in 2007 dollars that exceeded costs. The preschool program provided a total return to society of $10.83 per dollar invested (18% annual return). The primary sources of benefits were increased earnings and tax revenues and averted criminal justice system costs. The school‐age program had a societal return of $3.97 per dollar invested (10% annual return). The extended intervention program (4–6 years) had a societal return of $8.24 (18% annual return). Estimates were robust across a wide range of analyses including Monte Carlo simulations. Males, 1‐year preschool participants, and children from higher risk families derived greater benefits. Findings provide strong evidence that sustained programs can contribute to well‐being for individuals and society.