In the gubernatorial debate tonight, Secretary of State Ken Blackwell seemed to suggest that increased state investments in early care and education, while a nice idea, wouldn’t have any immediate impact on the state’s economy. Actually the evidence from the Ohio Groundwork campaign suggests just the opposite:

Research studies show that young children exposed to high-quality instructional settings exhibit better language and mathematics skills, better cognitive and social skills, and better relationships with classmates than do children in lower-quality care. Subsequently, students score higher in school-readiness tests; are 40% less likely to need special education or be held back a grade State investments in early care and education saves the state and local school districts money right away.

Providing children with high-quality ECE opportunities allows their working parents to be more productive at work and have less absenteeism. Unscheduled absences cost small businesses in Ohio an average of $60,000 annually and large companies an average of $3.6 million. Nearly one-quarter of unscheduled absences are due to family issues, including early care and education needs. State investments in early care and education can saves businesses money today.

The early childhood industry in Ohio is comprised of many small businesses directly supporting nearly 57,000 jobs. This is as many people as insurance carriers and higher education, and more people than motor vehicle manufacturing. Money invested in the early care and education sector is spent on purchases, as well as on wages, which in turn feeds into and stimulates the manufacturing and agricultural sectors. State investments in early care and education can create jobs in Ohio today and tomorrow.

In North Carolina’s early care and education program Smart Start has added nearly $400 million to that state’s economy through the creation of 56,455 additional child care spaces. In addition, Smart Start child care subsidies allowed families to work, adding nearly $590 million to their economy. State investments in early care and education allows Ohio to compete economically with other states today.

The Federal Reserve Bank of Cleveland found that quality early childhood programs for low-income children generate an overall 16% rate of return on investment, 12% of which is a public rate of return. These children had much higher lifetime earnings and reduced dependence on welfare. This translates into a significant return on investment for the state. State investments in early care and education will help Ohio's economy today, tomorrow and well into the future.