IDEAS home Printed from https://ideas.repec.org/a/aea/aejpol/v11y2019i4p310-49.html
   My bibliography  Save this article

Reducing Inequality through Dynamic Complementarity: Evidence from Head Start and Public School Spending

Author

Listed:
  • Rucker C. Johnson
  • C. Kirabo Jackson

Abstract

We compare the adult outcomes of cohorts who were differentially exposed to policy-induced changes in Head Start and K–12 spending, depending on place and year of birth. IV and sibling-difference estimates indicate that, for poor children, these policies both increased educational attainment and earnings, and reduced poverty and incarceration. The benefits of Head Start were larger when followed by access to better-funded schools, and increases in K–12 spending were more efficacious when preceded by Head Start exposure. The findings suggest dynamic complementarities, implying that early educational investments that are sustained may break the cycle of poverty.

Suggested Citation

  • Rucker C. Johnson & C. Kirabo Jackson, 2019. "Reducing Inequality through Dynamic Complementarity: Evidence from Head Start and Public School Spending," American Economic Journal: Economic Policy, American Economic Association, vol. 11(4), pages 310-349, November.
  • Handle: RePEc:aea:aejpol:v:11:y:2019:i:4:p:310-49
    Note: DOI: 10.1257/pol.20180510
    as

    Download full text from publisher

    File URL: https://www.aeaweb.org/doi/10.1257/pol.20180510
    Download Restriction: no

    File URL: https://www.aeaweb.org/doi/10.1257/pol.20180510.data
    Download Restriction: no

    File URL: https://www.aeaweb.org/doi/10.1257/pol.20180510.appx
    Download Restriction: no

    File URL: https://www.aeaweb.org/doi/10.1257/pol.20180510.ds
    Download Restriction: Access to full text is restricted to AEA members and institutional subscribers.
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Pedro Carneiro & Rita Ginja, 2014. "Long-Term Impacts of Compensatory Preschool on Health and Behavior: Evidence from Head Start," American Economic Journal: Economic Policy, American Economic Association, vol. 6(4), pages 135-173, November.
    2. Loeb, Susanna & Bound, John, 1996. "The Effect of Measured School Inputs on Academic Achievement: Evidence form the 1920s, 1930s and 1940s Birth Cohorts," The Review of Economics and Statistics, MIT Press, vol. 78(4), pages 653-664, November.
    3. David Deming, 2009. "Early Childhood Intervention and Life-Cycle Skill Development: Evidence from Head Start," American Economic Journal: Applied Economics, American Economic Association, vol. 1(3), pages 111-134, July.
    4. Card, David & Payne, A. Abigail, 2002. "School finance reform, the distribution of school spending, and the distribution of student test scores," Journal of Public Economics, Elsevier, vol. 83(1), pages 49-82, January.
    5. Murray, Sheila E & Evans, William N & Schwab, Robert M, 1998. "Education-Finance Reform and the Distribution of Education Resources," American Economic Review, American Economic Association, vol. 88(4), pages 789-812, September.
    6. Roland G. Fryer & Steven D. Levitt, 2004. "Understanding the Black-White Test Score Gap in the First Two Years of School," The Review of Economics and Statistics, MIT Press, vol. 86(2), pages 447-464, May.
    7. Currie, Janet & Yelowitz, Aaron, 2000. "Are public housing projects good for kids?," Journal of Public Economics, Elsevier, vol. 75(1), pages 99-124, January.
    8. Bruce Sacerdote, 2014. "Experimental and Quasi-Experimental Analysis of Peer Effects: Two Steps Forward?," Annual Review of Economics, Annual Reviews, vol. 6(1), pages 253-272, August.
    9. John Fitzgerald & Peter Gottschalk & Robert Moffitt, 1998. "An Analysis of the Impact of Sample Attrition on the Second Generation of Respondents in the Michigan Panel Study of Income Dynamics," Journal of Human Resources, University of Wisconsin Press, vol. 33(2), pages 300-344.
    10. Ofer Malamud & Cristian Pop-Eleches & Miguel Urquiola, 2016. "Interactions Between Family and School Environments: Evidence on Dynamic Complementarities?," NBER Working Papers 22112, National Bureau of Economic Research, Inc.
    11. Currie, Janet & Neidell, Matthew, 2007. "Getting inside the "Black Box" of Head Start quality: What matters and what doesn't," Economics of Education Review, Elsevier, vol. 26(1), pages 83-99, February.
    12. Patrick Kline & Christopher R. Walters, 2016. "Evaluating Public Programs with Close Substitutes: The Case of HeadStart," The Quarterly Journal of Economics, Oxford University Press, vol. 131(4), pages 1795-1848.
    13. C. Kirabo Jackson, 2012. "Non-Cognitive Ability, Test Scores, and Teacher Quality: Evidence from 9th Grade Teachers in North Carolina," NBER Working Papers 18624, National Bureau of Economic Research, Inc.
    14. Bjorklund, Anders & Jantti, Markus, 1997. "Intergenerational Income Mobility in Sweden Compared to the United States," American Economic Review, American Economic Association, vol. 87(5), pages 1009-1018, December.
    15. Caroline M. Hoxby, 2001. "All School Finance Equalizations are Not Created Equal," The Quarterly Journal of Economics, Oxford University Press, vol. 116(4), pages 1189-1231.
    16. Card, David & Krueger, Alan B, 1992. "Does School Quality Matter? Returns to Education and the Characteristics of Public Schools in the United States," Journal of Political Economy, University of Chicago Press, vol. 100(1), pages 1-40, February.
    17. Lance Lochner & Enrico Moretti, 2004. "The Effect of Education on Crime: Evidence from Prison Inmates, Arrests, and Self-Reports," American Economic Review, American Economic Association, vol. 94(1), pages 155-189, March.
    18. Sarah R. Cohodes & Daniel S. Grossman & Samuel A. Kleiner & Michael F. Lovenheim, 2016. "The Effect of Child Health Insurance Access on Schooling: Evidence from Public Insurance Expansions," Journal of Human Resources, University of Wisconsin Press, vol. 51(3), pages 727-759.
    19. Raj Chetty & John N. Friedman & Nathaniel Hilger & Emmanuel Saez & Diane Whitmore Schanzenbach & Danny Yagan, 2011. "How Does Your Kindergarten Classroom Affect Your Earnings? Evidence from Project Star," The Quarterly Journal of Economics, Oxford University Press, vol. 126(4), pages 1593-1660.
    20. Jens Ludwig & Douglas L. Miller, 2007. "Does Head Start Improve Children's Life Chances? Evidence from a Regression Discontinuity Design," The Quarterly Journal of Economics, Oxford University Press, vol. 122(1), pages 159-208.
    21. Elizabeth U. Cascio, 2009. "Do Investments in Universal Early Education Pay Off? Long-term Effects of Introducing Kindergartens into Public Schools," NBER Working Papers 14951, National Bureau of Economic Research, Inc.
    22. Hilary Hoynes & Diane Whitmore Schanzenbach & Douglas Almond, 2016. "Long-Run Impacts of Childhood Access to the Safety Net," American Economic Review, American Economic Association, vol. 106(4), pages 903-934, April.
    23. Anna Aizer & Flávio Cunha, 2012. "The Production of Human Capital: Endowments, Investments and Fertility," NBER Working Papers 18429, National Bureau of Economic Research, Inc.
    24. Blau, David & Currie, Janet, 2006. "Pre-School, Day Care, and After-School Care: Who's Minding the Kids?," Handbook of the Economics of Education, in: Erik Hanushek & F. Welch (ed.), Handbook of the Economics of Education, edition 1, volume 2, chapter 20, pages 1163-1278, Elsevier.
    25. Hoynes, Hilary & Page, Marianne & Stevens, Ann Huff, 2011. "Can targeted transfers improve birth outcomes?: Evidence from the introduction of the WIC program," Journal of Public Economics, Elsevier, vol. 95(7-8), pages 813-827, August.
    26. Yonatan Ben-Shalom & Robert A. Moffitt & John Karl Scholz, "undated". "An Assessment of the Effectiveness of Anti-Poverty Programs in the United States," Mathematica Policy Research Reports cfc848ed6ab647bcb38ab47bb, Mathematica Policy Research.
    27. Will Dobbie & Roland G. Fryer, 2011. "Are High-Quality Schools Enough to Increase Achievement among the Poor? Evidence from the Harlem Children's Zone," American Economic Journal: Applied Economics, American Economic Association, vol. 3(3), pages 158-187, July.
    28. James J. Heckman, 2008. "Schools, Skills, And Synapses," Economic Inquiry, Western Economic Association International, vol. 46(3), pages 289-324, July.
    29. C. Kirabo Jackson & Rucker C. Johnson & Claudia Persico, 2016. "The Effects of School Spending on Educational and Economic Outcomes: Evidence from School Finance Reforms," The Quarterly Journal of Economics, Oxford University Press, vol. 131(1), pages 157-218.
    30. Kenneth Y. Chay & Jonathan Guryan & Bhashkar Mazumder, 2009. "Birth Cohort and the Black-White Achievement Gap: The Roles of Access and Health Soon After Birth," NBER Working Papers 15078, National Bureau of Economic Research, Inc.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Mullins, Jamie T. & White, Corey, 2020. "Can access to health care mitigate the effects of temperature on mortality?," Journal of Public Economics, Elsevier, vol. 191(C).
    2. Sebastian Gallegos & Pablo Celhay, 2020. "Early Skill Effects on Types of Parental Investments and Long-Run Outcomes," Working Papers 2020-014, Human Capital and Economic Opportunity Working Group.
    3. Durlauf, Steven N. & Kourtellos, Andros & Tan, Chih Ming, 2021. "The Great Gatsby Curve," SocArXiv mrw9y, Center for Open Science.
    4. C. Kirabo Jackson, 2018. "Does School Spending Matter? The New Literature on an Old Question," NBER Working Papers 25368, National Bureau of Economic Research, Inc.
    5. Naven, Matthew, 2019. "Human-Capital Formation During Childhood and Adolescence: Evidence from School Quality and Postsecondary Success in California," MPRA Paper 97716, University Library of Munich, Germany.
    6. Ansari, Arya & Pianta, Robert C., 2018. "The role of elementary school quality in the persistence of preschool effects," Children and Youth Services Review, Elsevier, vol. 86(C), pages 120-127.
    7. María Florencia Pinto, 2020. "Pobreza y Educación: Desafíos y Pólíticas," CEDLAS, Working Papers 0265, CEDLAS, Universidad Nacional de La Plata.
    8. Jorge Rodriguez, 2017. "Understanding the Effects of Income and Child Care Subsidies on Children's Academic Achievement," 2017 Papers pro1077, Job Market Papers.
    9. Duque, Valentina & Rosales-Rueda, Maria & Sanchez, Fabio, 2019. "How Do Early-Life Shocks Interact with Subsequent Human Capital Investments? Evidence from Administrative Data," Working Papers 2019-17, University of Sydney, School of Economics.
    10. Martha J. Bailey & Hilary W. Hoynes & Maya Rossin-Slater & Reed Walker, 2020. "Is the Social Safety Net a Long-Term Investment? Large-Scale Evidence from the Food Stamps Program," NBER Working Papers 26942, National Bureau of Economic Research, Inc.
    11. Wan, Sirui & Bond, Timothy N. & Lang, Kevin & Clements, Douglas H. & Sarama, Julie & Bailey, Drew H., 2021. "Is intervention fadeout a scaling artefact?," Economics of Education Review, Elsevier, vol. 82(C).
    12. Tohari, Achmad & Parsons, Christopher & Rammohan, Anu, 2021. "Literacy and Information," IZA Discussion Papers 14358, Institute of Labor Economics (IZA).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. C. Kirabo Jackson & Rucker C. Johnson & Claudia Persico, 2016. "The Effects of School Spending on Educational and Economic Outcomes: Evidence from School Finance Reforms," The Quarterly Journal of Economics, Oxford University Press, vol. 131(1), pages 157-218.
    2. Douglas Almond & Janet Currie & Valentina Duque, 2018. "Childhood Circumstances and Adult Outcomes: Act II," Journal of Economic Literature, American Economic Association, vol. 56(4), pages 1360-1446, December.
    3. Sneha Elango & Jorge Luis García & James J. Heckman & Andrés Hojman, 2015. "Early Childhood Education," NBER Chapters, in: Economics of Means-Tested Transfer Programs in the United States, Volume 2, pages 235-297, National Bureau of Economic Research, Inc.
    4. Maya Rossin-Slater & Miriam Wüst, 2016. "What is the Added Value of Preschool for Poor Children? Long-Term and Intergenerational Impacts and Interactions with an Infant Health Intervention," NBER Working Papers 22700, National Bureau of Economic Research, Inc.
    5. Elizabeth U. Cascio, 2017. "Does Universal Preschool Hit the Target? Program Access and Preschool Impacts," NBER Working Papers 23215, National Bureau of Economic Research, Inc.
    6. Richard J. Murnane, 2013. "U.S. High School Graduation Rates: Patterns and Explanations," Journal of Economic Literature, American Economic Association, vol. 51(2), pages 370-422, June.
    7. C. Kirabo Jackson & Rucker Johnson & Claudia Persico, 2014. "The Effect of School Finance Reforms on the Distribution of Spending, Academic Achievement, and Adult Outcomes," NBER Working Papers 20118, National Bureau of Economic Research, Inc.
    8. Denis Fougere & Arthur Heim, 2019. "L'évaluation socioéconomique de l'investissement social: Comment mettre en oeuvre des analyses coûts-bénéfices pour les politiques d'emploi, de santé et d'éducation," Sciences Po publications info:hdl:2441/5lge9h8e809, Sciences Po.
    9. Tim Kautz & James J. Heckman & Ron Diris & Bas ter Weel & Lex Borghans, 2014. "Fostering and Measuring Skills: Improving Cognitive and Non-cognitive Skills to Promote Lifetime Success," OECD Education Working Papers 110, OECD Publishing.
    10. Andrew Goodman-Bacon, 2016. "The Long-Run Effects of Childhood Insurance Coverage: Medicaid Implementation, Adult Health, and Labor Market Outcomes," NBER Working Papers 22899, National Bureau of Economic Research, Inc.
    11. Committee, Nobel Prize, 2021. "Answering causal questions using observational data," Nobel Prize in Economics documents 2021-2, Nobel Prize Committee.
    12. James Heckman & Tim Kautz, 2013. "Fostering and Measuring Skills: Interventions That Improve Character and Cognition," Working Papers 2013-019, Human Capital and Economic Opportunity Working Group.
    13. Rossin-Slater, Maya & Wüst, Miriam, 2016. "What is the Added Value of Preschool? Long-Term Impacts and Interactions with a Health Intervention," IZA Discussion Papers 10254, Institute of Labor Economics (IZA).
    14. Elizabeth M. Caucutt & Lance Lochner & Youngmin Park, 2017. "Correlation, Consumption, Confusion, or Constraints: Why Do Poor Children Perform so Poorly?," Scandinavian Journal of Economics, Wiley Blackwell, vol. 119(1), pages 102-147, January.
    15. Magnuson, Katherine & Shager, Hilary, 2010. "Early education: Progress and promise for children from low-income families," Children and Youth Services Review, Elsevier, vol. 32(9), pages 1186-1198, September.
    16. Cécile Bonneau, 2020. "The Concentration of investment in education in the US (1970-2018)," Working Papers halshs-02875965, HAL.
    17. Greve, Jane & Schultz-Nielsen, Marie Louise & Tekin, Erdal, 2017. "Fetal malnutrition and academic success: Evidence from Muslim immigrants in Denmark," Economics of Education Review, Elsevier, vol. 60(C), pages 20-35.
    18. repec:hrv:hksfac:34298862 is not listed on IDEAS
    19. Drange, Nina & Havnes, Tarjei & Sandsør, Astrid M.J., 2016. "Kindergarten for all: Long run effects of a universal intervention," Economics of Education Review, Elsevier, vol. 53(C), pages 164-181.
    20. Conti, Gabriella & Mason, Giacomo & Poupakis, Stavros, 2019. "Developmental Origins of Health Inequality," IZA Discussion Papers 12448, Institute of Labor Economics (IZA).
    21. Melanie E. Guldi & Amelia Hawkins & Jeffrey Hemmeter & Lucie Schmidt, 2018. "Supplemental Security Income and Child Outcomes: Evidence from Birth Weight Eligibility Cutoffs," Department of Economics Working Papers 2018-12, Department of Economics, Williams College.

    More about this item

    JEL classification:

    • H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
    • H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare
    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
    • I26 - Health, Education, and Welfare - - Education - - - Returns to Education
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:aea:aejpol:v:11:y:2019:i:4:p:310-49. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: . General contact details of provider: https://edirc.repec.org/data/aeaaaea.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Michael P. Albert (email available below). General contact details of provider: https://edirc.repec.org/data/aeaaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.