Heterogeneity in Early Life Investments: A Longitudinal Analysis of Children's Time Use

We examine heterogeneity in children’s time use using diary data from two waves of a nationally representative longitudinal cohort study. Children from disadvantaged households spend significantly less time reading and... [ view full abstract ]

We examine heterogeneity in children’s time use using diary data from two waves of a nationally representative longitudinal cohort study. Children from disadvantaged households spend significantly less time reading and engaging in sport than their counterparts, and more time playing and using media. Though most gaps are relatively small at age 9, they widen considerably by age 13. In order to assess the implications of these differences, we adopt fixed effects panel models which allow us to investigate whether additional time spent in investment activities that promote skill acquisition improves children’s outcomes. We find that additional reading time is associated with higher test scores between age 9 and age 13. Given the important role of extra-curricular activities in promoting cognitive and non-cognitive skill development, the systematic differences in time use we document in this paper are likely to contribute to cumulative disadvantage and widening skill gaps over adolescence and into adulthood.