The authors examine the effects of poverty-related adversity on child development, drawing upon psychobiological principles of experiential canalization and the biological embedding of experience. They integrate findings from research on stress physiology, neurocognitive function, and self-regulation to consider adaptive processes in response to adversity as an aspect of children’s development. Recent research on early caregiving is paired with research in prevention science to provide a reorientation of thinking about the ways in which psychosocial and economic adversity are related to continuity in human development.