President Barack Obama and Education Secretary Arne Duncan have often claimed that the “return on investment,” or ROI, for pre-k is 10-to-1, meaning there is a $10 payoff in the future for every dollar invested today in pre-kindergarten education. Both advocates and opponents of publicly funded pre-k often cite such figures, which can range from lows of about 1.5-to-1 to highs in the upper teens. Returns on investment are calculated by performing cost-benefit analyses. They are typically reported as ratios – for instance, 3-to-1 indicates that every dollar invested today leads to $3 of savings (adjusted for inflation) later on, with any ratio above 1 deemed a worthwhile investment.
Source: The Hechinger Report
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