After-School Care and Parents' Labor Supply

46 Pages Posted: 6 Dec 2013

See all articles by Christina Felfe

Christina Felfe

University of St. Gallen; University of St. Gallen - Swiss Institute for Empirical Economic Research (SEW)

Michael Lechner

University of St. Gallen - Swiss Institute for Empirical Economic Research

Petra Thiemann

Lund University - School of Economics and Management; IZA Institute of Labor Economics; USC Dornsife Institute for New Economic Thinking

Date Written: November 29, 2013

Abstract

Does after-school care provision promote mothers’ employment and balance the allocation of paid work among parents of schoolchildren? We address this question by exploiting variation in cantonal (state) regulations of after-school care provision in Switzerland. To establish exogeneity of cantonal regulations with respect to employment opportunities and preferences of the population, we restrict our analysis to confined regions along cantonal borders. Using semi-parametric instrumental variable methods, we find a positive impact of after-school care provision on mothers’ full-time employment, but a negative impact on fathers’ full-time employment. Thus, the supply of after-school care fosters a convergence of parental working hours.

Keywords: childcare, parents’ labor supply, semi-parametric estimation methods

JEL Classification: J130, J220, C140

Suggested Citation

Felfe, Christina and Lechner, Michael and Thiemann, Petra, After-School Care and Parents' Labor Supply (November 29, 2013). CESifo Working Paper Series No. 4487, Available at SSRN: https://ssrn.com/abstract=2363879

Christina Felfe

University of St. Gallen ( email )

Bodanstrasse 6
St. Gallen, 9000
Switzerland

University of St. Gallen - Swiss Institute for Empirical Economic Research (SEW)

Varnbuelstrasse 14
St. Gallen, 9000
Switzerland

Michael Lechner (Contact Author)

University of St. Gallen - Swiss Institute for Empirical Economic Research ( email )

Varnbuelstrasse 14
St. Gallen, 9000
Switzerland
+41 71 224 2320 (Phone)

Petra Thiemann

Lund University - School of Economics and Management ( email )

Tycho Brahes väg 1,
S-220 07 Lund, 223 63
Sweden

IZA Institute of Labor Economics ( email )

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

USC Dornsife Institute for New Economic Thinking ( email )

3620 S. Vermont Avenue, KAP 364F
Los Angeles, CA 90089-0253
United States

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