why business should support early childhood education
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Why Business ShouldSupport Early Childhood Educatio
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MISSIONThe Institute or a Competitive Workorce (ICW) is the non-proft, non-partisan, 501(c)3 afliate o the
U.S. Chamber o Commerce. ICW promotes the rigorous educational standards and eective job training
systems needed to preserve the strength o Americas greatest economic resource, its workorce. Through its
events, publications, and policy initiativesand drawing upon the Chambers extensive network o 3 million
membersICW connects the best minds in American business with the most innovative thinkers in American
education, helping them work together to ensure the nations continued prosperity.
The U.S. Chamber o Commerce is the worlds largest business ederation representing the
interests o more than 3 million businesses o all sizes, sectors, and regions, as well as state
and local chambers and industry associations.
Institute or a Competitive Workorce, 2010
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U.S. CHAMBER OF COMMERCE 1
Ready, Set, Go!
Since the end o the Sputnik era, our nation has lacked the
urgency to make education a national priorityuntil now. Global
competition or human talent and innovation, long-standing
educational achievement gaps, low high school graduation rates,
and the pending retirement o 77 million baby boomers have placed
tremendous workorce pressures on American business. These
pressures, i not checked, will jeopardize our national economic
security and the viability o the American dream.
Because the business community understands the importance
o having a world-class education system, the mission o the
U.S. Chamber o Commerces Institute or a Competitive Workorce
(ICW) is to promote high educational standards and eective
workorce training. Achieving a world-class system, however,
begins with high-quality early learning opportunities or children
rom birth to age ve. As a result, ICW has expanded its agenda
with the launch o the Early Childhood Education Initiative.
Why Business Should Support Early Childhood Education
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2 INSTITUTE FOR A COMPETITIVE WORKFORCE
The Early Childhood Education Initiative
Early childhood education has emerged as a critical issue
or many Chamber members, with a growing number
actively supporting early learning initiatives in their states.
The Early Childhood Education Initiative will ocus on early
learning as an investment in workorce development.
ICW, uniquely positioned to leverage the U.S. Chambers
business ederation representing the interests o more than
3 million businesses o all sizes, sectors, and regions, as
well as state and local chambers and industry associations,
received nancial support rom The Pew Charitable Trusts,
PNC Bank, and Knowledge Universe or this initiative.
The Early Childhood Education Initiative ocuses on early
learning as an investment in workorce development by:
Helpingdrivethenationaldebateaboutearly
childhood education policies and programs.
Providinginformationtothebusinesscommunity
at the local, state, and national levels so that it can
actively engage in advancing policies that support
high-quality early childhood education programs.
Developinganearlychildhoodeducationbusiness
network to exchange best practices on policies,
programs, and partnerships.
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U.S. CHAMBER OF COMMERCE 3
Why Business Should Support Early Childhood Education
To initiate change, this multiyear eort willocus on policies that support high-quality,
evidence-based early learning programs.
Specically, the initiative will:
Collaboratewithstateandlocalchambersthat
are active or are interested in becoming active
in the early childhood education arena.
Identifymodelprogramsandpublic-private
partnerships at the state and local levels.
Developanearlylearningtoolkitforbusiness
leaders to help guide activities and communication.
Identifyandtrainbusinessleadersthatwantto
become active in the early childhood education arena.
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Defning Early Childhood Education
Early childhood education is the healthy development and
education o children rom birth to age ve. Environments
and experiences in these early years are the most infuential
inthedevelopmentofachildsbrain.High-qualityearly
childhood education programs should promote thewhole child, paying equal attention to his or her cognitive
(academic), social, and emotional development. According
toHarvardUniversitysCenterontheDevelopingChild,
eective programs employ highly skilled sta, maintain
small class sizes and high adult-to-child ratios, utilize
a language-rich environment, provide age-appropriate
curricula and stimulating materials, provide a sae physical
setting or children, nurture positive and warm sta-to-child
interactions and relationships, and experience high and
consistent levels o child participation.1
Early childhood education also recognizes that a childs
rst teachers are his or her parents. Comprehensive
programs typically designed or low-income children
oten encompass strategies and amily supports that
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U.S. CHAMBER OF COMMERCE 5
Why Business Should Support Early Childhood Education
seek to maximize early learning, including a parent-as-partner philosophy, home visits, parent
educationprograms,andhealthanddevelopmentalscreenings.High-qualityprogramsalso
work collaboratively with community organizations and social service agencies, as well as other
service providers, to promote the healthy development o young children.
For the purposes o this report, early childhood education and early learning are synonymousand reer to programs serving children age ve and younger. The term early care reers to
programs or inants and toddlers, rom birth to age two.
Prekindergarten (preK) programs are one component o the early learning spectrum that
has received signicant policy attention in recent years, with a number o states expanding
access to state-unded preK programs. State-unded preK programs typically invest public
unds in programs that provide three- and our-year-old children with the academic, social, and
emotional skills necessary to succeed in kindergarten and beyond. While some organizations
and state policies use the term preschool as a synonym or preK programs, others use
preschool as a generic term to describe a variety o programs or children beore they begin
kindergarten regardless o their age.
Early childhood education programs vary widely. Questions about how these programs are
unded and who is eligible or them are explored in the Early Childhood Education Landscape
section on page 12.
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The Rationale
ICW rmly believes that investments in high-quality early
learning programs or children rom birth to age ve yield
high returns. In act, research shows that or every dollar
invested today, savings range rom $2.50 to as much as
$17 in the years ahead.
Arthur J. Rolnick, then-senior vice president o the
Federal Reserve Bank o Minneapolis, and Robert
Grunewald, associate economist, calculated an annual,
infation-adjusted rate o return o 16% or high-quality
prekindergarten or disadvantaged three- and our- yearolds.2 These returns are based on long-term educational,
social, and economic benets, including increased
earnings and tax revenues and decreased use o welare
and other social services, resulting in lower expenses or
states and communities.
JamesHeckmanistheHenrySchultzdistinguishedserviceprofessorofeconomics
at the University o Chicago, a winner o the Nobel Prize in Economic Sciences, and
anexpertintheeconomicsofhumandevelopment.Hisgroundbreakingworkwitha
consortium o economists, developmental psychologists, sociologists, statisticians, and
neuroscientists has proved that the quality o early childhood development heavily
infuences health, economic, and social outcomes or individuals and society at large.
Heckmanhasprovedthatgreateconomicgainscanbehadbyinvestinginearly
childhood development or disadvantaged children. As a result o his research, he has
developedaformulaknownastheHeckmanEquation.
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U.S. CHAMBER OF COMMERCE 7
Why Business Should Support Early Childhood Education
INVEST: Invest in educational and development resources or disadvantaged
amilies to provide equal access to successul early human development.
DEVELOP: Nurture early development o cognitive and social skills
in children rom birth to age ve.
SUSTAIN: Sustain early development with eective educationthrough to adulthood.
GAIN: Gain a more capable,
productive, and valuable workorce
that pays dividends to America or
generations to come.
Dr.Heckmansresearchontherates
o return to human capital investment
at dierent ages clearly shows that the
earlier the intervention occurs, the greater
its payo. Investments made rom birth to
age ve yield the highest return. The later
the investments are made, the lower the
return on investment.
Rates of Return to Human Capital Investment at Different Ages:Return to an Extra Dollar at Various Ages
Programs targeted towards the earliest years
Preschool programs
Rateofreturntoinvestm
entinhumancapital
Schooling
03 45Preschool
School Post-school
Job training
Age
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The Rationale
Additionally, research tells us the ollowing:
Therstveyearsarethemostcriticalinthe
development o a childs brain.Duringtheseearly
years, children begin to develop their cognitive, social,
emotional, and language skills and start to relate to
and interact with the world around them. In act, rom
birth to age three, children grow and learn at the most
intense rate; these are the years when children are
learning how to learn. The rst ve years represent the
pivotal juncture o nurture and nature and how theyshapethedevelopmentofyoungminds.Heckmans
research demonstrates that investments made in these
early years yield the highest rates o return to society.
Achievementgapsdevelopwellbeforechildrenbeginkindergarten. Because school
readiness and language development are key predictors o a childs academic success, they
are the ocus o early childhood education programs. Unortunately, many children who do not
participate in high-quality preK or early childhood programs are in general not ully prepared
to begin school. In the United States, those most likely to begin kindergarten at an academic
disadvantage are low-income and minority children. Research also tells us that students who
begin school behind have a tendency to remain behind throughout their academic careers.
High-qualitypreKprogramsforthree-andfour-year-oldscanhaveasignicantimpacton
allchildren,butespeciallythosefromlow-incomefamilies. Research shows that quality early
education programs have positive impacts on all childrens cognitive and language development,
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Why Business Should Support Early Childhood Education
regardless o income level or program setting. For example, a
study o the current preK program in Tulsa, Oklahoma ound
that children rom amilies earning more than 185% o the
ederal poverty level made signicant gains in early literacy
skills.3 This is important because middle-income children also
experience educational challengesduring the 20052006
school year, more than hal o all dropouts were rom middle-
income amilies, and 10% o all middle-income children age
16 to 19 have been retained in grade at least once.4
While preK or all may have the greatest total impact, the
largest per-child impact is clearly on disadvantaged children.
Longitudinal research on low-income children in high-quality
preK programs also indicates that these children, compared
with their peers who did not participate, exhibit stronger early
reading and math skills and show signicant gains in social and emotional skills, reduced grade
retention, reduced placement in special education, increased likelihood o being in school at
age 21, and increased likelihood o attending a our-year university.
Meaningfulinvestmentsinqualityearlylearningprogramsforyoungerchildrenhave
lastingeffectsthatcanreducecostslaterinlifewhileenhancingeconomicgrowth.
Interventions early in lie have a higher rate o return than later interventions. Longitudinal
research has shown gains among program participants so signicant that they have resulted
in positive outcomes through adulthood. Specically, program participants were less likely
to be involved in criminal activity or be arrested; less likely to rely on social services such as
welare; less likely to have children out o wedlock; and more likely than nonparticipants to
earn more, own a home, or own a second car.
Ahigh-qualityearlychildhoodeducationcanhelpbreakthecycleofpoverty. Early
environments (i.e., cognitive and noncognitive stimulation) are a powerul predictor o
success in adulthood. A wealth o brain research concludes that early experiences have
a proound impact on cognitive, social, and emotional development. Providing young
children with a strong start early on can help counteract disadvantaged environments.
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The Early Childhood Education Landscape
The early learning landscape is complex. It involves
a mix o public and private unding streams, a variety
o program settings and requirements, and dierent
eligible populations. In addition, it has grown moreimportant as the proportion o children in amilies with
both parents working has increased.
Participation in Out-o-Home ProgramsThe Shriver report5 shed new light on the composition
o the current workorce. The percentage o women in
the workorce is nearing 50% and continues to grow.As
womens labor orce participation rates have increased,
so has childrens participation in out-o-home programs.
Despitethistrend,parentalaccesstofull-day,full-year
programs is oten a challenge, and not all programs
provide a high-quality child development and early
learning experience. Program quality and availability
varies widely within each type o setting as well as
across settings.
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Why Business Should Support Early Childhood Education
Today, there are approximately 20.3 million6 children under age ve across America, 45% o
whom are minorities7 and 21% o whom live below the poverty line.8 Nearly 12 million are in
some orm o out-o-home care while their parents are at work, spending on average 36 hours
per week in the care o someone other than a parent.9 More than 1 million o these children are
three- or our-year-olds who are enrolled in state-unded preKprograms,orfederalHeadStart
or special education programs.
Among amilies with children age six or younger, 77% have a parent who is in the labor orce.10
Nationally, about three-quarters o children rom upper income amiliesbut only hal o
children rom low-income amiliesare enrolled in public or private preK.11 Middle-income
amilies are increasingly being squeezed by the cost o early education; the average amily o
our with two young children spends 29% o its monthly income on early education and care.12
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The Early Childhood Education Landscape
Where are children being served?As more households have both parents in the workorce, children are in
out-o-home settings in large numbers. Programs are oered in a variety
o settings, such as amily child care homes, child care and early learning
centers, and public schools. Children are oten in multiple settings,
depending on their ages and the needs o their parents, especially those who
work and need sae, reliable, and stimulating experiences or their youngchildren throughout the workday and work year. For example, a our-year-old
may go to a preK program at a public school or 2.5 hours and spend the
remainder o the day at home or in a program oered at a child care center.
The combination o ages, schedules, public and private programs, and
individual amily needs can make the possibilities appear endless.
How are these programs unded?For early childhood education as a whole, parents pay the bulk o the costs;
however, a mix o ederal and state unding is available to provide additional
support or some eligible amilies. Programs that provide services are oten
supported through multiple unding streams that can include ederal, state,
and local public unds as well as private unds. Federal unds come primarily
throughtheU.S.DepartmentofHealthandHumanServicesandinclude
theChildCareDevelopmentBlockGrant(CCDBG),TemporaryAssistance
forNeedyFamilies(TANF),HeadStart,andEarlyHeadStart.Otherfunds
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Why Business Should Support Early Childhood Education
areprovidedthroughtheU.S.DepartmentofEducation,includingTitleIoftheElementaryand
SecondaryEducationActandtheIndividualswithDisabilitiesEducationAct.Childrenenrolledin
programs may be supported by multiple sources o unding, depending on their parents incomeand employment status.
States provide matching amounts or ederal child care unding, and 40 states have invested in
state-unded preK programs. Financing or state preK initiatives can come rom various sources,
including the states K12 unding ormula, general revenue, lottery or gaming unds, or tobacco or
other sin tax dollars.13 In recent years, states
have signicantly increased preK unding and
the number o children being served.14
Nationally, amilies pay 60% o early care
and learning costs or children under age
ve. Local, state, and ederal governments
pay 39% o the costs, while the private
sector (businesses and philanthropies) pays
the remaining 1%.15 Sources o early care and learning costs as percentages
Familycontribution
60%
Business andphilanthropy
1%
Governmentunds39%
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The Early Childhood Education Landscape
What is required o the programs?Programrequirementsvary.Forinstance,HeadStart
is a ederal-to-local program or low-income children
that operates with the same criteria or participation
and operation in each state. It oers a variety o
comprehensive services. In contrast, programmatic
details and participation criteria vary rom state to state
or state-unded preK programs. States also require
licensed child care centers and homes to meet minimum
health and saety standards, which typically are not
required o schools providing state-unded preK in their
classrooms, which have their own regulations.
Programqualitycanvarywidelyacrossthesesectors.High-
quality early childhood education can be ound in child care
centers,familychildcarehomes,HeadStartprograms,
and public preK classrooms. Sadly, poor quality education
exists in each o the programs as well. To encourage
providers to oer the highest quality programs, nearly hal
o the states have begun to develop or implement Quality
Rating and Improvement Systems (QRIS) that distinguish
between providers who have met dierent quality
standards, communicate these ratings to parents, and in
the best cases provide supports or programs to reach and
maintainhigh-qualitylevels.However,notallQRISincludes
amily child care, and most do not rate public school preK
programsorHeadStartgrantees.
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Why Business Should Support Early Childhood Education
Who is eligible or these programs?All programs are voluntary. Eight states (Florida, Georgia, Illinois, Iowa, Louisiana, Oklahoma,
NewYork,andWestVirginia)plusWashington,D.C.,havecommittedtopreK or all
children. Some o the states have not yet put ull unding in place, and initial resources
generally target at-risk children. Thirty-two states oer preK only to at-risk children, using
eligibility criteria such as parental income, homelessness or being an English language learner.
Ten states do not provide state unding or preK.
All o the ederal programs have eligibility requirements tied to income. Other programs may
haveadditionalrequirements;forexample,CCDBGandTANFrequireparentstobeworking
or in an approved school or training program in order or their children to be eligible. Other
actors may be taken into consideration or eligibility, such as a childs welare status (e.g.,
oster care) or a parents employment in the military or a rst responder occupation (e.g.,
police or re) or state-unded preK programs.
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Promising Practices
Despitethesecomplexities,earlychildhoodeducationoers great promise and may be a rewarding area o
infuence or the business community. Every sector o
society has a stake in the uture o children and should
be active partners in their success. To make critical
improvements to our educational inrastructure, business
must lend its experience and expertisenot just its
money and goodwill. Several states, in collaboration with
local and state chambers o commerce and businesses,
have made great accomplishments.
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U.S. CHAMBER OF COMMERCE 17
Why Business Should Support Early Childhood Education
VirginiaThe Greater Richmond Chamber o Commerce is a preK leader. Businesses, policymakers,
health and human services agencies, communities at large, and child advocates have been
working together to promote quality early childhood development programs, both public
and private. Regarding early childhood education as an economic security and workorce
developmentissue,businessleadersfromChestereld,Hanover,Henrico,andRichmondwork
in partnership with Success By 6, a United Way early learning initiative, to achieve ve goals:
IncreaseVirginiasnancialinvestmentsintheVirginiaPreschoolInitiative,HealthyFamilies,andtheChildrensHealthInvolvingParentsofVirginiaprogram.
Investinearlychildhoodeducationprogramsbyinuencingpolicy,promotingthebenets
o participation in preschool programs, or contributing money.
Investinthechildcareindustryandprovideincentivestocreateandimprovequality
child care programs.
Supportchildcareworkforcedevelopmentbyinvestinginscholarshipsandprovide
incentives or child care workers to upgrade their education and reduce turnover
through salary increases.
Understandthechildcareneedsofemployees,includingtheavailabilityand
aordability o child care and how child care aects employees and the workplace.16
The success o the partnership among these entities has culminated in the development o
a rigorous regional plan outlining a comprehensive, high-quality early childhood education
system built on best practices and public-private partnerships. This plan provides a template
or other chambers interested in mobilizing the business community around preschool.
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Promising Practices
North CarolinaNorth Carolina and its business community have a history o strong support or preK programs.
In1993,Gov.JimHuntcreatedtheDivisionofChildDevelopmenttomanageandcoordinate
North Carolinas early childhood education and child care services. Smart Start, a public-privateearly childhood education initiative begun in 1993, provides early childhood unding to programs
in each o the states counties. With signicant annual state and private contributions, the initiative
has grown into a nationally recognized model noted or its sustainability, quality, structure, and
breadth.17 Smart Start unds are distributed through local partnerships and are used to improve
quality and expand access and services or children rom birth to age ve and their amilies.
Huntssuccessor,Gov.MikeEasley,initiatedMoreatFourin2001,apre K program unded
by the states lottery. Together, More at Four and Smart Start serve a large number o the states
disadvantaged our-year-olds. Because early childhood education is such a critical issue or the
state, local chambers have joined the eort to promote it and garner additional public support.
TheDurhamChamberofCommerce,forexample,hasincorporatedearlychildhoodeducation
into its economic development agenda.
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U.S. CHAMBER OF COMMERCE 19
Why Business Should Support Early Childhood Education
MinnesotaMinnesotas business community has taken an active lead in the states investments in early
learning. In 2003, business leaders launched Minnesota Business or Early Learning (MnBEL) to
raise awareness about early childhood education, to identiy and promote best practices in the
workplace, and to impact public policy.18
Today, MnBEL is a 200-member organization composedo high-level business executives rom more than 100 companies and organizations across the
state. MnBEL also works collaboratively with other business organizations, including the Minnesota
Chamber o Commerce and a number o local chambers throughout the greater Minnesota area.
In 2005, MnBEL established the Minnesota Early Learning Foundation (MELF) to explore eective
and cost-ecient ways to provide quality early learning services to children and engage amilies
in the process. Based on research ndings,19 MELF launched two initiatives: Innovation Projects
and Comprehensive Scalable Community Projects. MELFs standout project is the St. Paul
Early Childhood Scholarship Program. This initiative pilots the market-based scholarship model
developed by Art Rolnick and Rob Grunewald o the Federal Reserve Bank o Minneapolis in
collaboration with the oce o the mayor o the city o Saint Paul, the Federal Reserve Bank, and
theMinnesotadepartmentsofHumanServicesandEducation.20 The Scholarship Program mentors
parents and assists them in selecting high-quality programs or their children and provides two-year
scholarships to low-income amilies o three- to ve-year-olds to pay or these programs. As the rst
pilot o this model, the St. Paul Childhood Scholarship Program has gained national attention.
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Promising Practices
CaliorniaIn 2005, the Los Angeles Area Chamber o Commerce became the rst organization to endorse
a state ballot initiative to make preK programs available to every our-year-old in the state.
Although the chamber had previously opposed similar measures and unding mechanismsto support voluntary preK programs, its board o directors decided that preK programs
are a necessary investment in children, the workorce, and the states education system
overall. Although voters ailed to pass the 2006 initiative, the Los Angeles chambers position
represented a shit in the business communitys support or early learning public policy.
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U.S. CHAMBER OF COMMERCE 21
Why Business Should Support Early Childhood Education
Washington StateThe Greater Seattle Chamber o Commerce, with a major commitment to educational
excellence, supports the Business Partnership or Early Learning (BPEL). BPEL is a coalition
o area business leaders dedicated to closing the school readiness gap by investing in earlylearningfortwo-andthree-year-olds.TheParent-ChildHomeProgramworkswithlow-income
and minority parents and amilies who do not speak English as their primary language to
address school readiness.
The program provides two years o home visits (two visits each week or 23 weeks), provides
mentoring and coaching to parents, gives gits o educational toys and books, and ocuses
on preliteracy skill development. Plan and Learn Groups, the second component o the BPEL
program, oer amilies the opportunity to participate in inormal weekly play-and-learn groups
to enhance the development o childrens noncognitive skills. Assessment data reveal that
amilies who participate or the ull two-year period show positive and signicant gains in
behaviors that are consistent with long-term outcomes.21
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Conclusion
Early childhood education is not only a smart investment with positive returns, but it
is the right thing to do. Our nation cannot aord the cost o inaction. In decades past,
the United States proudly claimed premier international status as home to the best and
brightest. Todays U.S. rankings, however, prove that we have a long way to go to reach
the top o the list again.
With current early childhood education resource levels, too many kindergarteners will
continue to begin school ill-prepared, language skills and achievement scores in math and
reading will likely remain at mediocre levels, costs or interventions during the K12 years
and ater will continue to rise, high school graduation rates and postsecondary degree
completion rates will likely remain unchanged, and businesses will lack the necessary
workorce to ll the jobs o the uture.
The research is clear. Early learning opportunities or children rom birth to age ve have
great impact on a childs development and build a strong oundation or learning andsuccesslaterinlife.Othercountriesknowwhatwearejustguringout.High-quality
preK programs can have a signicant short- and long-term impact on children and
society. Early learning interventions, ollowed by other high-quality learning experiences,
maximize the benets o early childhood programs. ICW believes that all children can
benet rom early learning. This is why ICW recommends the ollowing:
Supportinganddirectingtheexpansionofhigh-qualityprogramstoserveyoung
childrens development and learning, including state-unded preK delivered in a
varietyofsettingssuchasschools,childcarecentersandhomes,andHeadStart
agencies, with public unding targeted to low-income children rst.
Hiringqualiedandeffectiveearlychildhoodeducatorswiththeknowledgeand
skills necessary to teach young children.
Developingmixedproviderdeliverysystemsthatsupportparentalchoiceandtake
advantage o public, private, and nonprot providers and their various settings.
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Why Business Should Support Early Childhood Education
Integratingearlylearningandcare
systems or children rom birth to age ve.
Makingbestuseofexistingresourcesby
coordinating local, state, and ederal eorts.
Developingseamlesstransitionsfromthe
early childhood education system to the
K12 system to create a continuum o
lielong learning.
Increasingtheavailabilityofhigh-quality,
ull-day, and/or year-round programs that
support working parents where needed.
Collectingdataandconductingthe
research needed to identiy best practices,
assess system perormance, and report
these results to the general public.
In addition to these eight recommendations,
ICW has compiled a list o action items to
encourage greater business involvement in
early childhood education. These actions
outline state- and business-level activities in
which business leaders may choose to engage.
More inormation on action items, as well as
a summary o the economic evidence behind
investments in early childhood education can
be ound at www.uschamber.com/icw or
www.PartnershipforSuccess.org.
Education in America:
The Straight Facts
Thereisnotasinglestatewhere
50% or more o the children are
profcient in reading or math.Only one-fth o low-income
and minority ourth and eighth
graders are profcient in reading
and math.22
Only70%ofninthgraders
graduate rom high school
within our years. Among blacks
and Hispanics, this number
decreases to just hal.23
Outof30industrializednations,
U.S. 15-year-olds rank 25th inmath and 21st in science.24
SeventypercentofU.S.eighth
graders read below a profcient
level.25
TwentypercentofU.S.workers
are unctionally illiterate and
innumerate.26
For more national statistics and
international comparisons, see
Appendix B.
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TakeAction
1. Connectwithyourstateearlychildhoodadvisorycouncil.
The more you know about the goals and programs in your state,
the easier it is or you to be a good partner.
2. Familiarizeyourselfwiththebenetsofhigh-qualityearly
learning programs.Understanding the benets o these
programs and telling others about them will help create
communities o children who are ready or school.
3. Visitahigh-qualityearlylearningsite.Knowing what a high-
quality program looks like and how it runs can help you be a
better advocate and understand what it means to give young
children a strong start.
4. Adoptpoliciesinyourbusinessthatsupportsworkingparents.
When possible, implement programs and policies that help your
employees become better inormed and more engaged in theirchildrens learning and development.
5. Educate employees on the value o early childhood education.
Whether or not children rom birth to age ve are at home, they
need the social, emotional, cognitive, and physical preparation
that will help them be ready or kindergarten.
6. Conveytopolicymakersyoursupportforpublicinvestmentin
early education. As someone who does not have a vested interest
in the early childhood education eld, business leaders make
powerul messengers in support o public investment or eective
programs. Communicate the evidence behind early education in
a variety o orumspublic meetings, personal communications,
and through the media.
Six Actions a Businessperson Can Take
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Why Business Should Support Early Childhood Education
1. Support a mixed provider delivery system. Whether early childhood programs are
delivered by public, private, or nonprot providers, communities should ensure that
quality programs are available and convenient or the amilies who need them.
2. EncourageearlylearningsystemandK12alignment.Too oten, children are
in programs that do not adequately prepare them or success in kindergarten.
Encouraging better alignment between early learning programs and
kindergarten will help children learn to the best o their ability.
3. Promote early learning policies as part o the economic development agenda.
Several studies have shown the return on investment that early learning
programs can bring to communities. From the number o people employed to
the supports provided to working parents to the long-term benets or children
who attend high-quality programs, early learning policies should be considered
with the economic development plans.
4. Encouragetheinclusionofearlychildhooddatainthestatewidelongitudinaldata system. As a nation, we need more inormation about which programs work,
who benets, and where we need new and better solutions. Tying early childhood
data to statewide longitudinal data systems will help provide the inormation that
policymakers and parents need.
5. Encourage your state to adopt a Quality Rating Inormation System (QRIS).
Many states have worked to implement QRIS to distinguish between high-quality
programs and programs that need improvement. Rating systems are one way to
achieve transparency and accountability so that parents and policymakers know
which programs meet quality standards.
6. Encouragebusinessorganizationsandnetworkstoadoptapolicyposition
insupportofpublicinvestmentsforeffective,highqualityearlyeducation
programs. Many chambers have included such a statement in their public policy
agenda. Ensure that your chamber, as well as other business networks such as
Rotary, Kiwanis, and others, adopts this priority and ollow up with policy makers.
Six Actions the Business Community Can Take
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Appendix A
The Critical Research on Early Learning
Over the past our decades, a tremendous library o scientic research on early learning has been
assembled. Rigorous longitudinal studies have assessed the eects o high-quality preK programs on
program participants. These studies identiy the short- and long-term individual and societal benets
o quality preK programs and have been instrumental in calculating early childhood education return
on investments. Additionally, brain research on the development o young children has documented
the vast capacity or learning during the early years and underscores the importance o early learning
opportunities or school readiness. Following is a review o pertinent brain research, as well as synopses
o the three most highly regarded scientic research studies conducted on early learning programs.
Brain Research
Research in neuroscience, molecular biology, genetics, developmental psychology, and child
development has taught scientists a great deal about neural circuitry, genetics, and the eects o
early experiences on brain architecture. This research also documents the interdependence o
cognitive,social,andemotionalcapacities.JamesHeckman,NobelLaureateinEconomicSciences
rom the University o Chicago, has analyzed and synthesized research ndings rom well-documentedstudiesconductedonbothhumansandanimals.Heconcludedthatearlylearningbegetslater
learning, and skill begets skill. In other words, knowledge and skill build upon themselves; the
strongerthefoundation,thegreaterthelaterattainment.Heckmanexplainedthesciencebehindhis
conclusions as ollows.
Neural circuits, which infuence our cognitive capacities, exist in a hierarchy and have sensitive
periods during which they are most elastic and responsive to experiences. Lower level circuits, which
perorm more basic unctions, close beore higher level circuits and are most sensitive during the
early(juvenile)years.Higherlevelcircuitsdependonqualityinformationfromlowerlevelcircuitsto
perorm their tasks. Consequently, there is a progression or ordering o the sensitive periods. As a
result, research suggests a causal relationship between early environments and experiences and both
cognitive and noncognitive outcomes.
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Why Business Should Support Early Childhood Education
It is through these sensitive periods that neural circuits mature. Experiences during the sensitive
periods activate the circuits and have the ability to change their architecture, chemistry, and gene
expression and can impact the behaviors they infuence. These changes then aect the ways that
neural circuits process and respond to inormation. Early mastery o a range o cognitive, social, and
emotional competencies makes learning at later ages more ecient and thereore easier and more
likely to continue.27
AccordingtoDr.JackShonkoff,professorofchildhealthanddevelopmentanddirectorofHarvard
UniversitysCenterontheDevelopingChild,Nurturingandresponsiveinteractionsbuildhealthybrain
architecture that provides a strong oundation or later learning, behavior, and health.28 Shonko
urther explains that toxic stress, dened as extreme poverty in conjunction with continuous amily
chaos, physical or emotional abuse, chronic neglect, severe maternal depression, substance abuse, or
amily or community violence, intereres with the maturation o healthy neural circuits and aects the
brains architecture.29This,inturn,affectsthebrainsstressmanagementsystems.BothHeckman
and Shonko conclude that these impoverished early environments have a negative infuence on
susceptible neural circuits during their sensitive periods and thereore reduce capacity.
Basedonscienticresearchontheformationanddevelopmentofthebrain,Heckman,Shonkoff,
and others rmly agree that early childhood education is likely more ecient and less costly than
interventions later in lie.
Rigorous Research Studies o Prekindergarten Participants
TheHigh/ScopePerryPreschoolProgram, in operation rom 1962 to 1967, provided high-quality
preK programs to low-income three- and our-year olds in Ypsilanti, Michigan. The program oered
2.5 hours o prekindergarten each weekday or two academic school years, 1.5 hours o weekly home
visits, meetings with parents, a small student-to-teacher ratio o 7:1, and high-quality teachers with
training in early childhood development and special education.30 Program participants have been
tracked or more than 40 years, and the longitudinal data indicate that the program contributed
signicantly to their educational perormance, economic productivity, and social responsibility.
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Appendix A
Compared with a similar group o nonparticipating children who were randomly assigned into the
controlgroup,High/ScopePerryparticipantsexhibitedthesecharacteristics:
Higherscoresonintelligenceandlanguageteststhroughageseven31
Higheracademicachievementscoresatage1432
Feweroverallarrestsandfewerdrug-relatedarrests
Highermonthlyearnings
Greaterhomeownership
Greaterownershipofasecondcar
Lessuseofwelfareassistanceorothersocialservices
HighergraduationorGEDattainmentrates
Longermarriages
Fewerbirthsoutofwedlock33
The average program cost per participant was $15,166 (in year 2000 dollars), while the individual net
benets have been calculated at $243,722, a benet-cost ratio o 17:1. The net benets break
down as ollows:34
Participants:25%(primarilyintheformofincreasedearnings)
Generalpublic:75%
Crime savings: 66%
Increased tax revenue: 5%
Education savings: 3%
Welare savings: 1%
The Chicago Child-Parent Centers(CPC) are ederally unded interventions or low-income minority
children rom high-poverty neighborhoods in Chicago. Created in 1967 and still in existence today,
CPC oers a preK program, a kindergarten program, and at select sites an early elementary school
program up to grade three. The preK program provides part-day services to three- and our-year
olds or the academic school calendar, ocuses on early reading and math skills, maintains a child-
teacher ratio o 17:2, employs teachers with a bachelors degree and certication in early childhood
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Why Business Should Support Early Childhood Education
education, pays teachers the equivalent o K12 salaries, and makes a parent-resource teacher and
school-community representative available at each location to provide reerral services to amilies and
conduct home visits.
The Chicago Longitudinal Study, which ollowed program participants through age 24, ound that
participants in the preK program or three- and our- year olds accomplished the ollowing:
Achievedhigherreadingandmathscoresthroughgradenine
Academicallyoutperformednonparticipants
Werelesslikelytobeheldbackinschool
Werelesslikelytobeplacedinspecialeducation
Experiencedlowerratesofofcialjuvenilearrests
The longer a child participated in a CPC program, the greater his or her academic achievement.
Children who participated or more than our years yielded signicantly higher math achievement, lie
skills competence, and lower rates o grade retention and special education placement.35 The study
also shows that male participants beneted in the areas o achievement and educational attainment,while emale participants beneted more rom participation in ollow-on programs in reading and
math. Additionally, children in the highest poverty neighborhoods beneted more than children in
lower poverty neighborhoods in school achievement and educational attainment.
The benet-cost ratio o this program was determined to be 7.14:1. The average program cost per
participant is $6,692, while the average net benet to participants is calculated at $41,067 (in 1998
dollars). The net benets break down as ollows:36
Participants:46%(primarilyintheformofincreasedearnings)
Generalpublic:54%
Crime savings: 28%
Increased tax revenue: 15%
Education savings: 9%
Welare savings: 1.6%
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Appendix A
The Carolina Abecedarian Project37inChapelHill,NorthCarolina,offeredhigh-qualitychildcareandpreK
programs to low-income children rom birth to age ve. The program provided ull-day (10-hour) services
each weekday or 50 weeks a year, instituted a child-teacher ratio o 3:1 or inants and toddlers and 6:1
or preK and kindergarten-aged children, ocused on language development, and oered medical and
nutrition services to participants.38 The study ound that students in the program age 18 months through
program completion scored signicantly higher on intelligence tests than children who did not receive this
care. Program participants were ollowed through age 21. Major ndings include higher reading and math
scores, higher intelligence test scores, enhanced language skills, lower grade retention rates, lower special
education rates, and higher postsecondary education enrollment rates. Further, program participants were
signicantly more likely than nonparticipants to still be in school at age 21 (40% and 20%, respectively) and
signicantly more likely to have ever attended a our-year college (35% and 14%, respectively).39
The benet-cost ratio o this program is calculated to be 2.5:1. The average cost per participant over a
ve-year period is $65,476, while the average net benets are calculated at $94,802 (in 2002 dollars).
The net benets break down as ollows:40
Participants:94% Generalpublicandthegovernment:6%
Current StudiesIn addition to these long-term studies, a variety o new reports have ound that
current state-unded preK programs are having an impact. For example, an evaluation o the New
Mexico program rom 2006 to 2008 ound signicant benets in the areas o early language literacy,
and math, with an estimated $5 return in New Mexico or every dollar invested by the statean 18%
return.41 A study o New Jerseys Abbott Preschool Program ound signicant academic gains, as well as
a 30% less grade retention in rst grade among children who attended one year and up to 50% less or
those who attended at both ages 3 and 4.42
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Addressing the CriticsAlthough the research on these long-term studies is thorough, some critics question its applicability to
current publicly unded programs or the ability to replicate results given current levels o unding. The Perry,
Abecedarian, and CPC programs are known or being programs o the highest quality. They were well unded,
employed highly credentialed and well-compensated teachers, maintained small student-teacher ratios,
established meaningul relationships with parents, and provided health services and other supports to amilies.
While todays high-quality programs may not have the resources aorded to the Perry, Abecedarian,
and CPC programs, many highly eective preK programs are positively impacting students today.
Many serve as models and are being replicated or scaled up. There is growing evidence that state-
unded programs are producing results. Although it will take time to ensure that every program is o
the highest quality, there is no reason to lower our preK program expectations.
Some critics are also skeptical o the benets o preK because o a misconception that some academic
gains ade-out by third grade. What is actually happening in these studies is not that children are losing
their skills, but that some children who didnt go to preK appear to catch up in terms o knowledge
that can be measured. This may be due to those children receiving intensive (and expensive) remedialprograms. On the other hand, the comparison children may have been dierent rom the children in
preK programs in terms o amily income, education, or other actors that help them catch up. Also,
while the IQ advantage that preK participants have over their peers can ade, the advantage they gain
in specic academic skills in reading and math and in social and emotional development do not. Those
skills are an even greater determinant o nal outcomes, such as graduation, employment, and lawul
behavior, than academic knowledge.43 Another study in the United Kingdom, which oers preK to all
children, ound that benets o high-quality programs last beyond kindergarten.44
There is some evidence that children who do not participate in preK programs can catch up, but
it is unclear why. Research is under way to discover whether intensive (and expensive) remedial
programs or amily income and education are the reason. Additionally, the concept o ade-out
neglects to take into account the quality o elementary schools that preK program participants attend.
It is highly possible that ade-out is more closely associated with elementary school quality than with
early childhood education quality, thus making the case or elementary school improvement and the
alignment o early childhood education with the early elementary grades.
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Appendix B
The Straight Facts
To put the early childhood education debate into perspective, the ollowing statistics give an idea o where
the country stands on measures o school readiness, academic and personal success, well-being, and
workorce readiness and participation. These statistics provide the big picture o education in America
and highlight the skills gap among students. While the K12 and postsecondary education systems need
signicant improvement to better serve all students, starting with high-quality early learning and preK
programscanhelpbuildastrongfoundationforlearningandlong-termsuccess.However,greatstridesin
program expansion and quality improvements are necessary i we are to ensure that every child has the
opportunity to participate in highly eective early learning programs.
National Employer Statistics
Ninetypercentofthefastest-growingjobsinAmericarequiresomepostsecondaryeducation.
Fortypercentofhighschoolgraduatescannotreadataneighthgradelevel.45
TwentypercentofU.S.workersarefunctionallyilliterateandinnumerate.46
International Comparisons
U.S.15-year-oldsrank25thoutof30industrializednationsinmath.47
U.S.15-year-oldsrank21stoutof30industrializednationsinscience.48
TheUnitedStatesranks20thoutof28OrganisationforEconomicCo-operationandDevelopment
(OECD)countriesinhighschoolgraduationrates.49
TheUnitedStatesranks15thof27OECDcountriesincollegegraduation.50
TheUnitedStatesranks2ndoutof27countriesinthepercentageofstudents(morethan40%)
who enter college and leave without earning a degree. Fewer than 60% o U.S. students complete
their undergraduate education.51
K12AcademicProciency
Thereisnotasinglestatewhere50%ormoreofthechildrenareprocientinreadingormath.
Only20%,oflow-incomeandminorityfourthandeighthgradersareprocientinreadingandmath.
Only32%offourthgradersand29%ofeighthgradersareprocientinreading.52
Only39%offourthgradersand31%ofeighthgradersareprocientinmath.53
AverageperpupilspendingforK12educationis$8,973(adjustedforregionalcostdifferences).54
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Why Business Should Support Early Childhood Education
HighSchoolGraduation,CollegeReadiness,andCollegeCompletion
Only70%ofninthgradersgraduatefromhighschoolwithinfouryears.55
OnlyhalfofHispanicandblackninthgradersgraduatefromhighschoolwithinfouryears.56
Anestimated53%ofallcollegestudentstakeatleastoneremedialEnglishormathcourseduring
their college experience.57
Morethanhalf(54%)ofcollegefreshmangraduatewithabachelorsdegreeinsixyears.58
Child Well-being
Atotalof4.2millionchildrenunderageve,or21%ofallchildrenintheUnitedStates,livebelow
the poverty line.59
Low-incomechildrenhear3millionwordsayear,middle-incomechildrenhear6million,and
upper income children hear 11 million.60
Thirty-vepercentofchildreninsingle-parenthomeshaveamotherwhoisahighschooldropout.61
A2007UNICEFreportfoundthattheUnitedStatesisinthebottomthirdofrankingsinmanyof
the six dimensions o child well-being (i.e. material well-being, health and saety, educational well-
being, amily and peer relationships, behaviors and risks, and subjective well-being).62
Forchildrenwhomovethreeormoretimesbetweentheagesoffourandseven,theprobabilityoftheir high school graduation decreases 13% below the baseline average o 82%.63
Motherswithlessschoolingprovidelesscognitiveandemotionalstimulationtotheirchildren.64
EarlyLearningWorkforce
Itisestimatedthatonly30%ofthenearly400,000earlylearningteachersandadministrators
in the United States have a bachelors degree in any eld. And ew teachers have a teaching
credential, expertise, or specialized training in early care and education66
TheChildDevelopmentAssociate(CDA)NationalCredentialingProgramsupportstrainingand
professionaldevelopmentfortheearlychildhoodworkforceandproduces15,000newCDA
credentialedteachersannually.TheCouncilforProfessionalRecognitionadministerstheCDA
credentialing program. More inormation is available at http://www.cdacouncil.org/ab_his.htm.
One-third(1,349)oftheinstitutionsofhighereducationthatofferanassociates,bachelors,
masters, or doctoral degree in any eld oer an early childhood teacher preparation degree.67
PreKteachersearnanaverageof$21,000annually,comparedwithelementaryschoolteachers
who earn an average o $42,000 annually.68
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Appendix B
PreKFunding69 Nationally,statesspendanaverageof$4,061perchildenrolledinpreK programs.
StatespendingonpreK programs ranges rom $1,686 per pupil in Maine to $10,989 per pupil in
New Jersey (these amounts exclude local spending).
Nationally,HeadStartexpenditures(whichcovercomprehensiveservicesforparticipants)average
$7,909 per pupil.
Nationally,familiespay60%ofearlycareandlearningcostsforchildrenunderageve;local,
state, and ederal governments pay 39% o the costs; the private sector (businesses and
philanthropies) pays the remaining 1%.70
Early Learning Return on Investment
DisadvantagedchildrenareassociatedwithahigherpreK program rate o return than their more
advantaged peers.
PreKprogrambenet-costratioshavebeencalculatedtorangefrom2.5:1tothebestcase
scenario o 17:1.71
ArthurJ.Rolnick,then-seniorvicepresident,andRobertGrunewald,associateeconomist,ofthe
Federal Reserve Bank o Minneapolis calculated an annual, infation-adjusted rate o return o16% or preK programs.72
JamesHeckman,NobelLaureateinEconomicSciences,ndsthatthereturnstohumancapital
investments are greatest or the young or two reasons:(1) skill begets skill, and (2) younger
persons have a longer horizon over which to recoup the ruits o their investments.73
Interventionslaterinlife,includingjobtraining,adultliteracy,prisonerrehabilitation,and
education programs or disadvantaged adults (although benecial), yield low economic returns
compared to early interventions, such as preK programs.74
Theperformanceofchildrenbenetingfromearlyinterventionsisbetterthanthatofchildrenwho
beneted rom later interventions, according to multiple studies.75
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Acknowledgments
The Institute or a Competitive Workorce would like to thank the ollowing
people who made this paper possible: primary researcher and writer Elena
Rocha; advisors Sara Watson, Elanna Yalow, and Nina Rees; and reviewers
Cornelia Grumman, Eric Karolak, Craig Pascal, and Joan Walters.
The Institute or a Competitive Workorce would like to thank The Pew
Charitable Trusts, Knowledge Universe, and PNC Bank or their generous
support o the Early Childhood Education Initiative. The opinions expressed
are those o the authors and do not necessarily refect those o the unders.
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Endnotes
1 Summary o Essential Findings: A Science-
Based Framework or Early Childhood Policy,
HarvardUniversityCenterontheDeveloping
Child, 2007.
2 Rob Grunewald and Arthur J. Rolnick,
EarlyChildhoodDevelopment:Economic
DevelopmentwithaHighPublicReturn,
FedGazette (March 2003). Accessed April
12, 2010 at http://www.minneapolised.org/publications_papers/pub_display.
cm?id=3832.
3 The Eects o Oklahomas University Pre-K
Program on School Readiness: An Executive
Summary, 2004, by William Gormley, Jr., et al,
Center or Research on Children in the United
States, Georgetown University.
4 Albert Wat, The Pre-K Pinch: Early Education
and the Middle Class, Pre-K Now,
November 2008.
5 MariaShriver,HeatherBoushey,andAnn
OLeary, The Shriver Report: A Womans
Nation Changes Everything, Center or
American Progress, 2009.
6 U.S. Census Bureau, 20052007 American
Community Survey. Available at: http://
actnder.census.gov/servlet/ACSSAFFFacts?_
submenuId=actsheet_1&_sse=on.
7 U.S. Census Bureau, Population Estimates,
May 2006. Estimates are based on the
2005 U.S. population. See also http://
www.washingtonpost.com/wp-dyn/content/
article/2006/05/09/AR2006050901841.html.
8 U.S. Census Bureau, Current Population
Survey, Annual Social and Economic
Supplement, 2007. See table POV01 at
http://pubdb3.census.gov/macro/032008/pov/
new01_100_01.htm.
9 Child Care in America, National Association
o Child Care Resource & Reerral Agencies.
Availableathttp://www.kaccrra.org/PDFs/
EMPpds/CCinAmericaReport_Naccrra.pd.
10 Working Mothers Need Child Care,
National Association o Child Care Resources
& Reerral Agencies. Available at http://
www.naccrra.org/policy/background_issues/
working_mothers.php.
11 Karen Schulman and W. Steven Barnett,
The Benets o Prekindergarten or Middle-
Income Children, National Institute or Early
Education Research, March 2005. Available
at http://nieer.org/resources/policyreports/
report3.pd.
12 Albert Wat, The Pre-K Pinch: Early Education
and the Middle Class, Pre-K Now,
November 2008.
13 DianaStone,FundingtheFuture:States
Approaches to Pre-K Finance, Pre-K Now,
February 2006.
14 Since 2005, there has been a $2.3 billion
increase in state pre-K program spending and
the percentage o our-year-old children served
has increased rom 14% in the 200102
school year to 24% in the 200708 school year.
Currently, 40 states have state-unded pre-K
programs, and Arkansas and Rhode Island
have pilot pre-K programs. Florida, Georgia,
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U.S. CHAMBER OF COMMERCE 37
Why Business Should Support Early Childhood Education
and Oklahoma have universal access subject
to unding or all our-year-olds; these state
programs now serve more than one million
children. A number o other states, including
Illinois, Iowa, Louisiana, New York, and West
Virginia, are working toward statewide voluntary
access programs. The remaining 10 states
(Hawaii,Idaho,Indiana,Mississippi,Montana,
NewHampshire,NorthDakota,SouthDakota,
Utah, and Wyoming) do not oer state-unded
pre-K programs. O these states, several have
created early learning councils or commissions,
plannedpilotprograms,orsupportHeadStart
and other early care and learning programs.
15 AnneMitchell,LouiseStoney,andHarriet
Dichter,FinancingChildCareintheUnited
States: An Expanded Catalog o Current
Strategies, 2001 Edition, 2001.
16 EarlyChildhoodDevelopmentDirectlyAects Economic Vitality, Greater Richmond
Chamber o Commerce.
17 Stone, Funding the Future.
18 Minnesota Business or Early Learning Web
site, http://www.mnbel.org.
19 EarlyChildhoodDevelopment:Economic
DevelopmentwithaHighPublicReturn,
Federal Reserve Bank o Minneapolis, March
2003; and Winning Start: A Plan or InvestingWiselyinEarlyChildhoodDevelopment,
Minnesota School Readiness Business Advisory
CouncilPolicyTaskForce,December2004.
20 Minnesota Early Learning Foundation
Annual Report, Minnesota Early Learning
Foundations, April 2008.
21 Organizational Research Services,
Parent-ChildHomeProgram/Play&Learn
GroupDemonstrationProject,Summary
o Evaluation Findings, The Seattle
Foundation, October 2008. Available
at http://www.seattleoundation.org/
newsarticle.cfm?articleID=10022624&PTSi
debarOptID=19793&returnTo=page28211.
cm&returnToname=Foundation%20Ma
terials&SiteID=1851&pageid=28211&S
IDEPAGEID=28211.Seealsothe2009
Business Partnership or Early Learning
Annual Report, The Seattle Foundation,
2009, at http://www.seattleoundation.org/
newsarticle.cfm?articleID=10022623&PTSi
debarOptID=19793&returnTo=page28211.
cm&returnToname=Foundation%20Materia
ls&SiteID=1851&pageid=28211&SIDEPAGE
ID=28211.
22 Based on 2007 National Assessment oEducational Progress (NAEP) data rom the
U.S.DepartmentofEducation,Instituteof
Education Sciences, National Center or
EducationStatistics,andNAEPDataExplorer.
23 Jay P. Greene and Marcus Winters, Public
HighSchoolGraduationandCollege-
Readiness Rates: 19912002, The
Manhattan Institute, February 2005.
24 Organisation or Economic Co-operation and
Development(OECD).PISA2006:Science
Competencies or Tomorrows World, Executive
Summary(Paris,France:OECDPublications,
2007), Tables 2 and 5. Available at
http://www.oecd.org/
dataoecd/15/13/39725224.pd.
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38 INSTITUTE FOR A COMPETITIVE WORKFORCE
Endnotes
25 Eighth-grade NAEP reading test results.
26 JamesJ.HeckmanandKimitriyV.Masterov,
The Productivity Argument or Investing
in Young Children, Executive Summary,
University o Chicago, October 2004.
27 JamesHeckman,TheTechnologyand
Neuroscience o Skill Formation, PowerPoint
presentation, Invest in Kids Working Group,
CenterforEconomicDevelopment,Partnership
or Americas Economic Success (July 17, 2006).
28 Jack P. Shonko, The Science o Early
ChildhoodDevelopment,ClosingtheGap
BetweenWhatWeKnowandWhatWeDo,
PowerPointpresentation,HarvardUniversity
(November 30, 2005).
29 NationalScienticCouncilontheDeveloping
Child, The Science o Early Childhood
Development,ClosingtheGapBetweenWhatWeKnowandWhatWeDo,Centeronthe
DevelopingChild,HarvardUniversity,January
2007. Available at http://www.developingchild.
net/pubs/persp/pd/Science_Early_Childhood_
Development.pdf.
30 AlbertWat,DollarsandSense:AReviewof
Economic Analysis o Pre-K, Pre-K Now,
May 2007.
31 Ibid.
32 Ibid.
33 SignicantBenets:TheHigh/ScopePerry
PreschoolProject,High/ScopeEducational
Research Foundation 2005. Available at
www.highscope.org/Research/PerryProject/
perrymain.htm.
34 Schweinhart,TheHigh/ScopePerry
Preschool Study Through Age 40, Ypsilanti,
MI.Formoreinformation,seeWat,Dollars
and Sense.
35 Chicago Longitudinal Study Newsletter,
Waisman Center, University o Wisconsin-
Madison, August 2000. Available at http://
www.waisman.wisc.edu/cls/NEWSLETN.PDF.
36 Reynolds, Temple, Robertson, and Mann,
Age 21 Cost-Benet Analysis o the Title I
Chicago Child-Parent Centers. For more
information,seeWat,DollarsandSense.
37 Early Learning, Later Successes: The
Abecedarian Study, Executive Summary,
TheFrankPorterGrahamChildDevelopment
Institute, The University o North Carolina
atChapelHill.Availableat
http://www.pg.unc.edu/~abc/summary.cm.
38 Wat,DollarsandSense.
39 The Carolina Abecedarian Project,
Age 21 Follow-up, Executive Summary, Early
Learning, Later Success: The Abecedarian
Study,FPGChildDevelopmentInstitute,
UniversityofNorthCarolinaatChapelHill
[[date?]]. Available at http://www.pg.unc.
edu/~abc/#summary_ollow_up.
40 Barnett and Masse, Comparative Benet-
Cost Analysis o the Abecedarian Program and
Its Policy Implications. For more, see Wat,
DollarsandSense.
41 The New Mexico Pre-k Evaluation, 2009, by
JasonHustedtetal,NationalInstituteforEarly
Education Research at Rutgers University. http://
nieer.org/pd/new-mexico-initial-4-years.pd.
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U.S. CHAMBER OF COMMERCE 39
Why Business Should Support Early Childhood Education
42 Ellen Frede et al., The Apples Blossom: Abbott
Preschool Program Longitudinal Eects Study
(APPLES) Preliminary Results Through 2nd
Grade Interim Report, (New Brunswick: National
Institute or Early Education Research, Rutgers,
The State University o New Jersey, 2009).
43 Personal communication, Pro. Steve Barnett,
4/25/2010.
44 Preschool Infuences on Mathematics
Achievement, Science, 321, 2008, by Edward
C. Melhuish et al.
45 HeckmanandMasterov,TheProductivity
Argument or Investing in Young Children:
Executive Summary. .
46 Ibid.
47 OECD,PISA2006:ScienceCompetenciesfor
Tomorrows World, Executive Summary, Tables
2 and 5.
48 Ibid.
49 OECD,EducationatGlance2008(Paris:OECD
Publications, 2008), 52. Rates are below the
average or the 19 European Union countries
andtheOECDaverage,andrepresentarate
that has been stagnant over the last decade.
50 OECD,EducationatGlance2008,75.
51 Ibid., pp. 92 and 94.
52 The Nations Report Card, Reading 2007,
National Assessment o Educational Progress
atGrades4and8,U.S.Departmentof
Education, Institute o Education Sciences,
National Center or Education Statistics, 2007.
53 The Nations Report Card, Mathematics
2007, National Assessment o Educational
ProgressatGrades4and8,U.S.Department
o Education, Institute o Education Sciences,
National Center or Education Statistics, 2007.
54 Quality Counts 2008, Editorial Projects in
Education, January 2008.
55 Jay P. Greene and Marcus Winters, Public
HighSchoolGraduationandCollege-Readiness
Rates: 19912002, The Manhattan Institute,
February 2005.
56 GreeneandWinters,PublicHighSchool
Graduation and College-Readiness Rates.
57 AmericanDiplomaProject,ReadyorNot:
CreatingaHighSchoolDiplomaThatCounts,
Achieve Inc., 2004. Available at http://www.
achieve.org/node/552.
58 Cracks in the Education Pipeline: A Business
LeadersGuidetoHigherEducationReform,
CommitteeforEconomicDevelopment,May
2005. Available at http://www.ced.org/docs/
report/report_highered.pd.
59 U.S. Census Bureau, Current Population
Survey, Annual Social and Economic
Supplement 2007. See table POV01, available
at http://pubdb3.census.gov/macro/032008/
pov/new01_100_01.htm.
60 B.HartandT.R.Risely,Meaningful
DifferencesintheEverydayExperienceof
YoungAmericanChildren,PaulH.Brooks
Publishing Company 1995.
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40 INSTITUTE FOR A COMPETITIVE WORKFORCE
Endnotes
61 JamesHeckmanandDmitriyV.Masterov,
The Productivity Argument or Investing in
Young Children, PowerPoint presentation,
December3,2004.
62 Child Poverty in Perspective: An Overview o
Child Well-being in Rich Countries, United
Nations Childrens Fund, 2007. Available at
http://www.unice-irc.org/presscentre/presskit/
reportcard7/rc7_eng.pd.
63 TheHiddenCostoftheHousingCrisis:The
ImpactofHousingonYoungChildrensOddsof
Success, Partnership or Americas Economic
Success, Issue Brie #7, July 2008.
64 HeckmanandMasterov,TheProductivity
Argument or Investing in Young Children.
65 StephenHerzenberg,MarkPrice,and
DavidBradley,LosingGroundinEarly
ChildhoodEducation:DecliningWorkforceQualications in an Expanding Industry,
19792004, The Economic Policy
Institute, 2005. Available at http://www.
earlychildhoodworkorce.com/losingground/
ecepd/losing_ground-ull_text.pd.
66 Valora Washington, Role, Relevance,
Reinvention:HigherEducationinthe
Field o Early Care and Education, Aspire
Institute, The CAYL Institute, The Council or
Proessional Recognition, National Black ChildDevelopmentInstitute,NationalHeadStart
Association, National Louis University, Pre-K
Now, and Wheelock College, September 2008.
67 Ibid.
68 Facts and Figures: The Promise o
Preschool, The National Institute or Early
Education Research. Available at http://
nieer.org/docs/?DocID=42.Inadditionto
pay disparities, pre-K program teachers lack
the benets and career ladder opportunities
aorded to K12 teachers.
69 W.StevenBarnett,DaleJ.Epstein,AllisonH.
Friedman, Judi Stevenson Boyd, and Jason T.
Hustedt,TheStateofPreschool2008,
The National Institute or Early Education
Research, 2008.
70 Mitchell,Stoney,andDichter,FinancingChild
Care in the United States.
71 Wat,DollarsandSense.
72 For low-income children in high-quality
preschools.
73 J.L.Heckman,InvestintheVeryYoung
(Chicago: Ounce o Prevention Fund, 2000).
74 Heckman,TheTechnologyandNeuroscience
o Skill Formation.
75 Ibid.
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8/8/2019 Why Business Should Support Early Childhood Education
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Institute for a Competitive Workforce
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Washington, DC 20062
Phone: 202-463-5525 Fax: 202-887-3424
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