Unobserved ability heterogeneity has long been postulated to play a key role in human capital development. Traditional strategies to estimate education production functions do not allow for varying role or development of unobserved ability as a child ages. Such restrictions are highly...

This paper presents results from a randomized evaluation of a home visiting program for disadvantaged first-time mothers and their families implemented in Germany. 12 months after birth, the intervention increases infants' cognitive development by 0.18 SD. However, the effect fades out after 24...

How much of the income-based gaps in cognitive ability and academic achievement could be closed by a two-year, center-based early childhood education intervention? Data from the Infant Health and Development Program (IHDP), which randomly assigned treatment to low birth weight children from both...

How much of the income-based gaps in cognitive ability and academic achievement could be closed by a two-year, center-based early childhood education intervention? Data from the Infant Health and Development Program (IHDP), which randomly assigned treatment to low birth weight children from both...

Macroeconomic analysis of inequality and intergenerational mobility typically abstracts from the role of endogenous childhood development. This paper shows that this omission is not innocuous. It extends the standard general-equilibrium heterogeneous-agent life-cycle model with earnings risk and...