A report by the London School of Economics provides an update to Does Money Affect Children’s Outcomes? A Systematic Review (2013). It provides further supporting evidence that money in itself is important for children’s cognitive development, physical health and educational achievement, distinct from other factors such as parental education. The authors found that poorer children have worse outcomes in part because they are poor and not only because of other factors that are associated with low income. The study found that reducing income poverty and inequality is likely to have a significant impact on children’s environment and on their development.
