Disparities in childhood human capital investments in the United States

Abstract We analyze data from 10 nationally representative surveys in the United States (2010–2023) to track public, private, and family time investments in children, all theorized to enhance human capital. Average per-child investments from birth to age 18 total $502,152 (2024 USD), with overall disparities by household income and race/ethnicity of 6% to 15%. Early childhood shows the largest gaps—often over 50%—driven mainly by housing and child care. Investment levels converge substantially around age five due to near-universal public schooling, which serves over 90% of children, compared with far lower access to publicly supported early care (roughly 25%) and housing subsidies (less than 5%). Like early childhood, though, later-childhood investments exhibit differences in the types of services and resources children from different backgrounds receive (e.g., compulsory versus compensatory education, office-based versus emergency health services, whole fruit versus fruit juice). Accounting for parent and family time-focused investments (e.g., informal educational activities, meals) narrows disparities by income and race/ethnicity when valued at a constant wage. Disparities increase 50-100% when valued at caregivers’ age- and education-specific wages, likely overstating differences in the quality of family time.