An interesting study from two Harvard economists looked at all the safety net programs implemented in America over the past 50 years and the returns produced by each.
It found that the net return on investment was only positive for three types of programs and all of them involved children. That makes sense: Catching people while they’re young gives them the most time to turn around from difficult circumstances and become contributors to society rather than drains.
The biggest benefit of all came from Children’s health, the study found. Every dollar invested in Medicaid programs for children returned about $1.75 to the government eventually. A Wall Street Journal story about the report said states began expanding their Medicaid programs in the 1970s, and “as those children became adults, they had improved educational attainment and lower rates of hospitalization and chronic health conditions.”
Adults who received Medicaid, on the other hand, remained a net drain on the system.
Overall, the study provides another reason that Mississippi should focus more on investing in its young people. That includes their physical health and their mental achievement through education. Catch them when they’re young and impressionable and they’re not going to be dependent for the rest of their lives on government handouts.
