Great topic.
I live in a town of 25,000 people, located about one hour south of the Twin Cities.
Our community has four golf options: a private country club, a privately owned daily fee course, a muni, and a 9-hole par 3.
Our boys' and girls' high school teams consistently are ranked in the top 10 in the state, and most people in town believe it's because of the par 3 course.
Parents begin bringing their children to the par 3 at a very young age; on a Saturday afternoon, it's very common to see more than half the groups on the course made up of children under the age of 10 with their parents. When the kids are a little older, many spend the entire day at the par 3 and the accompanying practice range.
When the kids hit their pre-teen and/or teen years, they graduate to the other courses in town.
My understanding is that the par 3 is the only course in town that makes a significant profit. Maintenance is minimal, the land is paid for, and the fees are low (about $5 per round and $15 per day -- $200 a year for unlimited golf).
Somehow, it works, and I consider myself lucky to live in a community where the children have a course they feel they own.
When we drive past the par 3, my 3-year-old and 6-year-old daughters say, "There's our golf course."
At a completely different level of quality and -- I'm assuming -- cost, the best course I've ever seen for juniors is the Coldra Woods course (par 59) at Celtic Manor. If that had been my course as a 10-year-old, I'd have been in heaven.