Is childhood such a critical period that, by the end of this period, c
umulative poverty would have exerted maximum effect on children's cogn
itive outcomes? Or are cognitive outcomes more a function of the lengt
h of exposure to poverty regardless of the life stage in which the chi
ld is exposed to poverty? The NLSY, which measures each child's cognit
ive development repeatedly over time, was analyzed to answer these que
stions. We distinguish between ability and achievement. Ability is a m
ore stable trait than achievement and tends to be determined by both e
nvironmental and genetic factors early in life. Achievement on the oth
er hand is more acquired. This study shows that long-term poverty has
substantial influences on both ability and achievement but the time pa
tterns of these influences are distinctly different. Childhood appears
to be a much more crucial period for the development of cognitive abi
lity than early adolescence. In contrast, poverty experienced in adole
scence appears to be more influential to adolescent achievement than p
overty experienced earlier in life.