Individual short-run and long-run outcomes are greatly influenced by the socialprocesses and economic events they encounter. This dissertation examines how these processes affect children’s immediate and long-term outcomes. In the first essay, I analyze the impact of two independent events—the opioid supply and unemployment in the US—on infant health outcomes. The findings reveal that the combination of high opioid supply and high unemployment, via a trade shock, negatively affects infant health, including increased rates of preterm births and low birth weight. The second chapter explores the effects of the Earned Income Tax Credit Program, a federal unconditional cash support policy, on adults’ long-term involvement in criminal activities and risky health behaviors such as binge drinking and smoking. The results show that exposure to higher instrumented income while growing up significantly reduces the likelihood of engaging in criminal activities and other risky health behaviors in adulthood. Finally, the third chapter investigates the impact of state implementation of comprehensive Prescription Monitoring Programs (PDMPs) on children’s home removal outcomes. Using a staggered differences-in-differences strategy, the study finds that the implementation of comprehensive PDMPs is associated with a reduction in home removals, particularly for children under the age of one. Across all three chapters, this dissertation demonstrates how exposure to public policies and economic events has lasting consequences on human capital development.