Market Failure? Estimating Inequality in Preschool Availability

Abstract

Activists within education and family-policy circles are debating two questions: Is the overall availability of preschools and child-care centers sufficient, and is supply distributed equitably? These issues grow more salient as demands on an already fragile preschool “system” intensify: Head Start spending has climbed, rising interest in “school readiness” prompts concern over preschool distribution and quality, and welfare reform will boost enrollment pressure. We report on two studies that employ differing levels of analysis to better understand the distribution of preschool availability. Study 1 examines distribution among 100 counties nationwide, revealing clear inequalities in availability associated with county wealth and demographic features. Study 2 analyzes zip-code-level data for Massachusetts, showing more similar levels of supply in low-income and affluent neighborhoods. In between we find lower availability in working-class and some middle-income communities. Together, the two studies show that the degree of distributional equity varies among states and locales, conditioned by levels of household income, parental education, family structure, and the surrounding policy environment. Assertive government action has yielded progress toward distributional equity. Carefully targeted efforts to reduce access inequality also would conserve resources to help improve preschool quality.

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