Public Child Care and Mothers' Labor Supply - Evidence from Two Quasi-Experiments

53 Pages Posted: 23 Apr 2013

See all articles by Stefan Bauernschuster

Stefan Bauernschuster

University of Passau - Business Administration and Economics; CESifo (Center for Economic Studies and Ifo Institute) - Ifo Institute; IZA Institute of Labor Economics

Martin Schlotter

Bavarian Ministry for Economic Affairs,Infrastructure, Transport an Technology

Date Written: April 23, 2013

Abstract

Public child care is expected to assist families in reconciling work with family life. Yet, empirical evidence for the relevance of public child care to maternal employment is inconclusive. We exploit the introduction of a legal claim to a place in kindergarten in Germany, which was contingent on day-of-birth cut-off dates and resulted in a marked increase in kindergarten attendance of three-year olds in the following years. Instrumental variable and difference-indifferences estimations on two individual-level data sets yield large and positive effects of public child care on maternal employment. A set of placebo treatment tests corroborate the validity of our identification strategies.

Keywords: public child care, maternal employment

JEL Classification: J220, J130, D040

Suggested Citation

Bauernschuster, Stefan and Bauernschuster, Stefan and Schlotter, Martin, Public Child Care and Mothers' Labor Supply - Evidence from Two Quasi-Experiments (April 23, 2013). CESifo Working Paper Series No. 4191, Available at SSRN: https://ssrn.com/abstract=2255373 or http://dx.doi.org/10.2139/ssrn.2255373

Stefan Bauernschuster (Contact Author)

University of Passau - Business Administration and Economics ( email )

University of Passau
Innstrasse 27
D-94030 Passau
Germany

CESifo (Center for Economic Studies and Ifo Institute) - Ifo Institute ( email )

Poschinger Str. 5
Munich, 81679
Germany

IZA Institute of Labor Economics ( email )

P.O. Box 7240
Bonn, D-53072
Germany

Martin Schlotter

Bavarian Ministry for Economic Affairs,Infrastructure, Transport an Technology ( email )

Prinzregentenstra├če 28
Munich, Bavaria 01069
Germany
+49(0)8921622275 (Phone)

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