Investing in children -- better than Wall Street?

As government purse-strings are tightening in the midst of economic uncertainty, the Partnership for America's Economic Success recently gathered to propose focusing our national and local investments in children.

American RadioWorks reports: "Hedge fund managers, CEOs and chamber of commerce presidents may not seem like obvious advocates for the expansion of social programs, but they've become perhaps the most enthusiastic and effective supporters of preschool."

They are enthusiastic because research from Federal Reserve economists calculates the "real rate of return" from investing in children early at 16 percent, "more than twice the return on the stock market."  The conference, which United Way of Mass Bay & Merrimack Valley president and CEO Michael Durkin also attended, aimed to build the case for preventing costly problems down the line by investing in children early.

A powerful argument.  On the other hand, Elaine Zimmerman of the Commission on Children in Connecticut argues that many parents "don't want their child turned into a savings plan."

Emily Hanford or American RadioWorks also points out that "State government spending on preschool has reached an all-time high of more than $3.7 billion. And now PAES wants increased investment in other areas of early childhood, from health to housing."

What do you think? Does the business case for investing in early education and care for children resonate with you? Or do you think the issue should be framed differently?

Listen to Hanford's report (about 5 minutes)

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