Cost-Effective Early Childhood Development Programs: A Synthesis of Evidence in the First Decade of Life

Abstract In recent years, greater attention has been given to promoting child well-being throughout the entire period of early childhood. We summarize evidence on the effects and cost-effectiveness of early childhood development programs from birth to age 10. Findings from17 estimates of 16 programs were emphasized. Birth to age 3 interventions including nutritional education and home visitation show family, health and social benefits ranging from $1 to $5 per dollar invested. Participation in preschool programs for 3 and 4-year olds has been found to have relatively large and enduring effects on child well-being. Across many studies, economic returns range from $2 per dollar invested to over $10 per dollar invested with an average of $6. In kindergarten and the early school-age years, programs that combine services across ages can enhance well-being. The Child-Parent Center preschool to third grade program shows a return of $6 to $9 per dollar invested above and beyond lesser intervention. Class size reductions beginning in kindergarten and social skills training show evidence of positive effects with economic returns of $2 to $3 per dollar invested. Reading Recovery and class size reductions after kindergarten show low cost-effectiveness. The causal mechanisms,and key principles for promoting enduring effects are described as well as future directions for cost- effectiveness studies. ECD programs 3 The positive effects of early childhood development (ECD) programs on well-being have been documented in hundreds of studies and reviews since the 1960s (Karoly et al., 2005; Reynolds, Wang, & Walberg, 2003; Zigler, Gilliam, & Jones, 2006). Advances in scientific knowledge have contributed not only to the establishment of early childhood programs but have helped spur recent expansion of programs and services in states and localities (Barnett et al., 2007; Gormley, 2007; Reynolds & Temple, 2008; Zigler et al., 2006). Increased attention to the early years of life also has sparked greater interest in the transition to school and the experiences in the early grades that can reinforce preschool gains and strengthen school achievement (Bogard & Takanishi, 2005; Reynolds et al., 2003). The creation of early childhood systems and practices that enhance the continuity of development over the first decade of life is increasingly viewed as fundamental to shaping children’s well-being. Scope of Review In this synthesis, evidence is presented on the effectiveness and cost-effectiveness of early childhood development programs for the outcomes of school readiness, school achievement and