March 2010, Revised January 2011 | Douglas Almond, Janet Currie
This paper examines the long-term effects of early childhood influences on adult outcomes and the effectiveness of remediation policies. It reviews recent research showing that events before age five can have significant long-term impacts on educational attainment, earnings, and employment. Child and family characteristics measured at school entry are as important as traditional labor economics factors like education. While early childhood damage can be permanent, it is often remediable. The paper discusses various policies for remediation and highlights outstanding research questions.
The paper begins with a conceptual framework, modeling health as a stock variable that responds to investments and depreciation. It considers a simple two-period childhood model, where early childhood investments have lasting effects on adult outcomes. The paper explores the concept of complementarity, showing that investments in different childhood periods can have varying effects on adult outcomes. It also discusses the importance of parental responses to early-life shocks, which can either magnify or mitigate their effects.
The paper then examines the evidence for long-term effects of early life influences, showing that early childhood experiences can have persistent effects on adult outcomes. It discusses the effectiveness of remediation programs, showing that early interventions can significantly reduce the impact of early-life shocks. The paper also highlights the importance of considering the elasticity of substitution between different childhood periods and the role of parental preferences in shaping investment decisions.
The paper concludes with a discussion of outstanding research questions, emphasizing the need for further study on the long-term effects of early childhood influences and the effectiveness of remediation policies. It also highlights the importance of addressing data constraints and improving data availability for future research.This paper examines the long-term effects of early childhood influences on adult outcomes and the effectiveness of remediation policies. It reviews recent research showing that events before age five can have significant long-term impacts on educational attainment, earnings, and employment. Child and family characteristics measured at school entry are as important as traditional labor economics factors like education. While early childhood damage can be permanent, it is often remediable. The paper discusses various policies for remediation and highlights outstanding research questions.
The paper begins with a conceptual framework, modeling health as a stock variable that responds to investments and depreciation. It considers a simple two-period childhood model, where early childhood investments have lasting effects on adult outcomes. The paper explores the concept of complementarity, showing that investments in different childhood periods can have varying effects on adult outcomes. It also discusses the importance of parental responses to early-life shocks, which can either magnify or mitigate their effects.
The paper then examines the evidence for long-term effects of early life influences, showing that early childhood experiences can have persistent effects on adult outcomes. It discusses the effectiveness of remediation programs, showing that early interventions can significantly reduce the impact of early-life shocks. The paper also highlights the importance of considering the elasticity of substitution between different childhood periods and the role of parental preferences in shaping investment decisions.
The paper concludes with a discussion of outstanding research questions, emphasizing the need for further study on the long-term effects of early childhood influences and the effectiveness of remediation policies. It also highlights the importance of addressing data constraints and improving data availability for future research.