Childcare and Maternal Employment: Evidence from Vietnam

54 Pages Posted: 16 Dec 2019

See all articles by Hai-Anh Dang

Hai-Anh Dang

World Bank - Development Data Group (DECDG); IZA Institute of Labor Economics; Indiana University Bloomington - School of Public & Environmental Affairs (SPEA); Global Labor Organization (GLO); Vietnam National University Ha Noi; Vietnam Academy of Social Sciences (VASS) - Centre for Analysis and Forecasting

Masako Hiraga

World Bank

Cuong Viet Nguyen

(NEU) National Economics University of Vietnam

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Abstract

Little literature currently exists on the effects of childcare use on maternal labor market outcomes in a developing country context, and the few recent studies offer mixed results. We attempt to fill these gaps by analyzing several latest rounds of the Vietnam Household Living Standards Survey spanning the early to mid-2010s. Addressing endogeneity issues with a regression discontinuity estimator based on children's birth months, we find a sizable effect of childcare attendance on women's labor market outcomes, including their total annual wages, household income, and poverty status. The effects of childcare attendance differ by women's characteristics and are particularly strong for younger, more educated women. Furthermore, we also find that childcare has a medium-term effect.

Keywords: gender equality, child care, maternal employment, women's empowerment, Vietnam

JEL Classification: J13, J16, J22, H42, O0

Suggested Citation

Dang, Hai-Anh H. and Hiraga, Masako and Nguyen, Cuong Viet, Childcare and Maternal Employment: Evidence from Vietnam. IZA Discussion Paper No. 12814, Available at SSRN: https://ssrn.com/abstract=3503764

Hai-Anh H. Dang (Contact Author)

World Bank - Development Data Group (DECDG) ( email )

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Vietnam National University Ha Noi ( email )

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Masako Hiraga

World Bank ( email )

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Cuong Viet Nguyen

(NEU) National Economics University of Vietnam ( email )

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Hanoi, Hanoi 10000
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