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Investing in Young Children - Essay Example

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The paper "Investing in Young Children" tells that investing in disadvantaged young children is a rare public policy with no equity-efficiency tradeoff. It reduces the inequality associated with the accident of birth and at the same time raises the productivity of society at large…
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Investing in Young Children
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If resources will be allocated to take care of young children from disadvantaged environments, the benefits will not only be for the children but for the whole society as well. This can be analyzed through data about education and human skills as major factors to determine productivity. Education as a public good when made available to all children can decrease the inequity in society as it reduces academic and societal difficulties in the future. And through education, skills could be acquired. These skills could help achieve productivity both in the workplace and in society. Children who were able to go to school will learn and acquire skills that they can use for jobs in the future. In the long run, unemployment and problems brought by it like crimes can be reduced. This is because the returns of such investments cannot be realized directly during the present time.  

            The changing trends in the labor markets can also contribute to the inefficiencies that are present in the economy. The emergence of new technologies has raised the demand for highly skilled workers who are qualified to use them (Heckman and Masterov, 7). Because of these changes, there is a possibility for the wage disparity to widen and this will result in low productivity and higher rates of inefficiencies in the economy. The wider this wage disparity becomes, the higher the economic benefit of going to school will have. And the more we should invest in young children from disadvantaged environments. Also, more policies should be implemented to monitor the trend in the supply of skills to the American economy and solve crimes in America.

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