Working Paper: CEPR ID: DP17794
Authors: Henning Hermes; Marina Krauss; Philipp Lergetporer; Frauke Peter; Simon Wiederhold
Abstract: We provide experimental evidence that enabling access to universal early child care increases maternal labor supply and promotes gender equality among families with lower socioeconomic status (SES). Our intervention offers information and customized help with child care applications, leading to a boost in child care enrollment among lower-SES families. 18 months after the intervention, we find substantial increases in maternal full-time employment (+160%), maternal earnings (+22%), and household income (+10%). Intriguingly, the positive employment effects are not only driven by extended hours at child care centers, but also by an increase in care hours by fathers. Gender equality also benefits more broadly from better access to child care: The treatment improves a gender equality index that combines information on intra-household division of working hours, care hours, and earnings by 40% of a standard deviation, with significant increases in each dimension. For higher-SES families, we consistently observe negligible, insignificant treatment effects.
Keywords: Gender Equality; Child Care; Randomized Controlled Trial; Maternal Employment
JEL Codes: C93; D90; J13; J18; J22
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Access to universal early child care (J13) | Maternal labor supply (J22) |
| Access to universal early child care (J13) | Full-time employment rates of lowerses mothers (J22) |
| Increased child care hours provided by child care centers (J13) | Full-time employment rates of lowerses mothers (J22) |
| Increased child care hours provided by fathers (J13) | Full-time employment rates of lowerses mothers (J22) |
| Decreased reliance on alternative care arrangements (I11) | Full-time employment rates of lowerses mothers (J22) |
| Access to universal early child care (J13) | Household income (D19) |
| Access to universal early child care (J13) | Mothers' earnings (J31) |
| Access to universal early child care (J13) | Gender employment gap (J16) |
| Access to universal early child care (J13) | Intrahousehold gender gap in child care hours (D13) |