To commemorate the Centennial of the Foundation for Child Development, this report tells the story of American families who cannot lift themselves out of poverty despite honest, hard work and proposes an agenda for change that reflects the focus of the foundation's grantmaking. The report draws heavily on recent research including that sponsored by FCD and on discussions with FCD's grantees and other researchers. Part 1 of the report describes the changing economic and social conditions that affect families' capacity to develop their full potential. Part 2 discusses the impact of these conditions on children's lives today and on their future prospects. Part 3 focuses on the specific requirements and resources of working families. This part discusses various yardsticks used to measure family economic policy, and shows how those measures shape current policies and programs. Part 4 presents a range of strategies that hold promise for improving the prospects of low-wage working families and their children. The report urges a restoration of the balance between private initiative and public responsibility that has characterized the nation's most successful endeavors. Maintaining that policymakers must consider broader social and economic strategies that will improve the prospects of all low-wage earners and their families, the report reaffirms FCD's conviction that both restructured policies and vigorous and sustained advocacy are needed to keep faith with the nation's families and their children. (KB)