Preferences for Childcare Policies: Theory and Evidence

42 Pages Posted: 14 Sep 2008

See all articles by Rainald Borck

Rainald Borck

Humboldt University of Berlin - Faculty of Economics; CESifo (Center for Economic Studies and Ifo Institute)

Katharina Wrohlich

DIW Berlin, German Institute for Economic Research

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Abstract

We analyse preferences for public, private or mixed provision of childcare theoretically and empirically. We model childcare as a publicly provided private good. Richer households should prefer private provision to either pure public or mixed provision. If public provision redistributes from rich to poor, they should favour mixed over pure public provision, but if public provision redistributes from poor to rich, the rich and poor might favour mixed provision while the middle class favour public provision ('ends against the middle'). Using estimates for household preferences from survey data, we find no support for the ends-against-the-middle result.

Keywords: childcare, redistribution, political preferences, public provision of private goods

JEL Classification: J13, D72, H42, D19

Suggested Citation

Borck, Rainald and Wrohlich, Katharina, Preferences for Childcare Policies: Theory and Evidence. IZA Discussion Paper No. 3694. Available at SSRN: https://ssrn.com/abstract=1267835 or http://dx.doi.org/10.1111/j.0042-7092.2007.00700.x

Rainald Borck (Contact Author)

Humboldt University of Berlin - Faculty of Economics ( email )

Spandauer Strasse 1
D-10178 Berlin
Germany
49-30-2093-5676 (Phone)
49-30-2093-5697 (Fax)

CESifo (Center for Economic Studies and Ifo Institute)

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Munich, DE-81679
Germany

Katharina Wrohlich

DIW Berlin, German Institute for Economic Research ( email )

Mohrenstraße 58
Berlin, 10117
Germany

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