New Analysis Finds that Universal PreK would Boost Ohio’s Economy

A new cost-benefit analysis by Scioto Analysis finds that universal pre-kindergarten in Ohio could deliver significant economic returns. The firm estimates the program would generate $3.80 in benefits for every $1 in costs per new child enrolled. With more families facing the rising costs of childcare and early childhood learning gaps widening, this analysis presents an effective solution to these problems.

This cost-benefit analysis estimates returns ranging from $220 million to $750 million depending on how many children enroll in the program. These benefits primarily accrue from increased future earnings, reduced prison time, reduced special education services, and reduced grade school repetition, with the most significant economic benefit of universal prekindergarten is its improvement of future earnings for participants. Quality early education programs enhance cognitive and non-cognitive skills, leading to higher academic achievement and better job prospects.

Despite these promising projections, Ohio currently ranks low in preschool spending compared to other states. Some cities, including Cincinnati, Cleveland, Dayton, and Toledo, have funded pre-K programs that are less than universal. Head Start is a federal pre-K program, but in Ohio and most other states, eligibility is generally restricted to families living at or below federal poverty guidelines. The report suggests that implementing a universal pre-K program could address these disparities, providing equitable access to early education and yielding substantial long-term economic benefits for the state.