A baby bonds bonanza

This NPR Planet Money Indicator podcast episode discusses "baby bonds," government-funded investment accounts for newborns. The episode compares and contrasts two programs: Connecticut's state-funded program, which aims to close the state's wealth gap by providing $3,200 per child at birth, projected to grow to $11,000 by age 18, and a new federal program initiated by the Trump administration, which provides an initial $1,000 per child but relies on families for further contributions. The podcast features interviews with Connecticut's treasurer and a UCLA professor who has modeled the potential impact of baby bonds on reducing racial wealth inequality. The discussion highlights the potential benefits and limitations of both programs in addressing wealth inequality and the complexities involved in using such policies to achieve this goal.