Research Report The Return on Investing in Children
Subtitle
Helping Children Thrive
Elaine Maag, Cary Lou, Michelle Casas, Hannah Sumiko Daly, Gabriella Garriga, Lillian Hunter
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The federal government invests more than $500 billion annually in children through direct cash payments, including tax credits, and in-kind goods such as childcare, education, food subsidies, and healthcare coverage. This represents about 10 percent of the federal budget. Research shows these investments, which are often used to combat poverty, can have large short- and long-term payoffs for the children receiving the benefits and society at large. Though the payoff of any one investment can be difficult to assess, strong evidence suggests that investments that reduce poverty and direct resources at very young children have particularly high returns.

Research and Evidence Family and Financial Well-Being Tax and Income Supports Research to Action Technology and Data Upward Mobility
Expertise Families Taxes and the Economy Upward Mobility and Inequality Early Childhood
Tags Children's budget Taxes and social policy Children and youth Data analysis