Title: Starting Early to Build the Workforce and Customer Base of the 21st Century
1Starting Early to Build theWorkforce and
Customer Base of the 21st Century
- Early Care and Education Consortium
- Robert H. Dugger
- Managing Director, Tudor Investment Corporation
- Advisory Board Chair, Partnership for Americas
Economic Success - Robert.dugger_at_tudor.com
2Partnership for Americas Economic Success
- Intensifying global competition and steadily
growing fiscal imbalances are important American
challenges. -
- 20 of workers are functionally illiterate we
need children to become adults who are literate,
numerate, job-ready, team-capable. - Many (not all) of the traits that make good
employees, neighbors and citizens begin in the
first five years of life. The brain reaches 85
of its adult weight in the first five years of
life. -
- Bottom line For best results, start early and
keep going.
3Partnership for Americas Economic Success
- Background
- Established in 2006 by a collaboration of 12
funders, business leaders, economists and early
childhood experts. - Robert Dugger of Tudor Investment Corporation is
co-founder and Advisory Board Chair. - Managed by and housed at The Pew Charitable
Trusts director is Sara Watson of Pew. - Purpose Make all childrens successful
development the top economic priority for the
nation. - Strategy Strengthen U.S. competitiveness and
achieve fiscal sustainability through
evidence-based investments in young children
prenatal to age five.
4Research Agenda Five Areas of Focus
- Microeconomics Economic gains from specific
interventions - Health Parenting
- Housing Early education
- Parental income Nutrition
- Macroeconomics Economic growth, job creation,
fiscal sustainability, and global competitiveness
implications of proven investments - Sector Analysis Size of the youth human
capital development sector - Finance Policy Best ways to pay for proven
investments commensurate with economic impact - Communications How to communicate findings and
inform policy discussion
5Why should business care?
Scan of normal three-year-old brain
Scan of three-year-old brain after severe neglect
6Why should business care?
- Children who start behind too often stay behind
- If 50 1st graders have problems reading,
- then 44 of them still have problems reading in
4th grade.
First Graders
Fourth Graders
7Perry Preschool Economic Impacts at Age 40
8Research Results Closing the Poverty Gap
- Northwestern University (Greg Duncan)
- Early childhood poverty is associated with a
range of adverse adult outcomes. Relative to
their poor peers, children living at twice the
federal poverty level - Complete two more years of school
- Earn twice as much as adults
- Have much better health.
- Raising all poor U.S. children to the poverty
line would almost pay for itself in adult
earnings alone - Cost 70,000
- Benefits
- Sharply increase adult earnings (53,000-99,000
per child) - Decrease welfare dependence (3,200 lifetime
TANF, food stamps) - Slightly increase schooling (0.2 years)
9Research Results Closing the Poverty Gap
10Despite These Results, We Are Not Investing
- Urban Institute/New America Foundation
- (Gene Steuerle)
- Federal investments in children are projected to
decline by 14 to 29 percent as a portion of
federal spending over the next decade - Federal spending will rise by 650 billion, but
investments in children will see only .01 percent
of this increase - Federal focus on consumption rather than
investment programs jeopardizes our economic
growth
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12Using the Message in Seattle, Illinois, Minnesota
13The Message is Getting Out
- It's a mystery. With all the energy devoted to
expanding prekindergarten programs, leaving no
K-12 child behind, improving community colleges
and sweetening aid for college students, how can
the U.S be short of educated workers? - Despite frequent assertions by advocates for one
solution or another, there is no one sure cure
for this. If only we got more kids into
high-quality pre-K, it wouldn't be enough. If
only we improved K-12 education, it wouldn't be
enough. If only we got more teenagers to finish
high school, it wouldn't be enoughWe have to do
them all. - Lack of Well-Educated Workers Has Lots of Roots,
No Quick Fix, - David Wessel, The Wall Street Journal
- Business leaders in South Dakota are taking an
interesting approach to economic development.
They're using money set aside for recruiting new
businesses and investing it in preschool
education. Studies show that every dollar spent
on early education saves seven dollars down the
road, on potential welfare and incarceration
costs. - South Dakota makes preschool a form of economic
development - Cara Hetland, Minnesota Public Radio
14Business Leader Support
- Jim Rohr, CEO of PNC Bank, leading 100 million
PNC Grow Up Great - Chamber of Commerce CEOs from Maine to California
- George Kaiser, CEO of Kaiser-Francis Oil, major
supporter of early care and education in Oklahoma - Ed Basha, CEO of Bashas Grocery Stores, led
fight in Arizona for early childhood ballot
initiative - Massachusetts Strategies for Children campaign
business leaders Mara Aspinall, CEO of Genzyme
Genetics Ronald Sargeant, CEO of StaplesRichard
Lord, CEO of Associated Industries of
Massachusetts - CEOs of Federal Reserve Banks in Richmond,
Cleveland and San Francisco made statements in
support of early investments as economic
development - Fed Chairman Ben Bernanke high returns that
early childhood programs can pay 2007 speech
to Omaha Chamber of Commerce
15Policy Progress on Investing in Children
- In 2007
- Pennsylvania votes 75 million for prek, child
care - Illinois commits to prek for all 3 AND 4 year
olds health care for all AND increased for
infant programs. - Ohio approved over 200 million for prek, child
care, mental health, etc. - Texas raises home visiting funds by 7.9 million
16Partnership for Americas Economic Success -
Outreach
- Commissioned Research
- Over 20 studies on economic benefits of
investments prenatal - 5 - Monthly Discussion Forums
- New findings, leaders, messages, campaigns -
Toll-free call-in number or join in person in DC - Fourth Annual PAES Conference
- July 9-10, 2008 at U.S. Chamber of Commerce in
Washington, DC - Second Annual Telluride Economic Summit
- September 21-23, in Telluride, Colorado -- By
invitation only for senior business executives - Getting the Word Out Presentations to
- Georgia Partnership for Educational Excellence
- Partnership for Wisconsins Economic Success
- Milken Global Conference
- University of Miami Forum on Costs of Inadequate
Education
17Join Us, Pennsylvania!
- The nation needs a million voices join us
- Sign up to receive monthly PAES updates,
including notices of PAES/Invest in Kids monthly
forums at www.PartnershipforSuccess.org - Participate in monthly forums, upcoming
conferences - Ask us for research findings
- Help us secure business leaders to disseminate
this message to policy audiences, the public, the
business community, and others - Link to PAES website and send us items to be
posted