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Quality and Cost in Early Childhood Education

  • Irene Powell
  • James Cosgrove
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    This paper uses a unique survey of 205 child care centers conducted by the U.S. General Accounting Office to estimate flexible-form cost functions for child care. Our model allows us to estimate the tradeoff between cost and such quality factors as the child/staff ratio, child group size, and staff characteristics. The coefficient on the child/staff ratio indicates that decreasing the average child/staff ratio from, for instance, an 11 to 1 ratio to a 10 to 1 ratio, would lead to an increase in costs of roughly 3.4 percent. Staff turnover, education, and experience also had statistically significant effects on cost.

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    File URL: http://www.jstor.org/stable/pdfplus/146172
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    Article provided by University of Wisconsin Press in its journal Journal of Human Resources.

    Volume (Year): 27 (1992)
    Issue (Month): 3 ()
    Pages: 472-484

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    Handle: RePEc:uwp:jhriss:v:27:y:1992:i:3:p:472-484
    Contact details of provider: Web page: http://jhr.uwpress.org/

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