Early Childhood Education to Promote Health Equity: A Community Guide Economic Review

Area of Science:

• Public Health
• Economics
• Education Policy

Background:

• Early childhood education (ECE) programs are known to improve educational, social, and health outcomes.
• Many ECE programs are designed to increase enrollment among high-risk children, thereby advancing health equity.

Purpose of the Study:

• To conduct an economic review comparing the costs and economic benefits of center-based ECE programs.
• To analyze the benefit-cost ratio of ECE programs for low-income children.

Main Methods:

• A benefit-cost analysis was performed, building on a previous meta-analysis.
• An electronic database search identified additional cost-benefit studies published through May 2015.
• National-level benefit-cost estimates for Head Start programs were incorporated.

Main Results:

• The median benefit-to-cost ratio for earnings gains was 3.39:1 across three types of ECE programs.
• The overall median benefit-to-cost ratio, including all benefit components, was 4.19:1.
• This indicates a substantial return on investment, with $4.19 in total benefits for every $1 invested.

Conclusions:

• Early childhood education programs promote both equity and economic efficiency.
• There is a positive social return on investment in ECE, regardless of program type.
• A societal perspective is essential for a comprehensive understanding of ECE program costs and benefits.