Parents need child care in order to obtain and retain a job. Children need a safe place to be that promotes their healthy development while their parents are working. The child care industry is an important economic driver within states. In fact, throughout the country, child care has an economic impact of $99.3 billion.
The Committee for Economic Development (CED) reviewed the economic impact of child care in a 2019 report, Child Care in State Economies. At that time, as an industry throughout the country, child care had revenue of $47.2 billion, employing 1.5 million workers. The spillover impact of these programs (purchases of goods and services) generated an additional $52.1 billion in local economies for a total economic impact of $99.3 billion.
Child care plays a major role in New Jersey’s economy. The child care and early education industry:
Committee for Economic Development, 2019
Each dashboard is based on data contained in the Committee for Economic Development (CED) report, The Economic Role of Paid Child Care in the U.S. and is designed to be interactive. Depending upon the individual dashboard, the data can be sorted by year, state (or U.S. average), age of children (e.g., age 14 and younger or under age 5), use of paid care, labor force participation of mothers, share of family income spent on child care, and household income of families using paid care compared to families with children of the same age not using paid care.
Committee for Economic Development, February 2022
Source: IPUMS USA – University of Minnesota, U.S. Census Bureau, and RegionTrack calculations