Arbeitspapier

The effect of childcare on parental earnings trajectories

We study the effect of childcare availability on child penalties. Using Swiss administrative data, we exploit the staggered opening od childcare facilities across municipalities in the canton of Bern. We find that the presence of childcare facilities in the year of birth of the first child reduces the child penalty. The availability of childcare increases maternal earnings and decreases the compensating increase in fathers' earnings in households with below median earnings, but not in households with above median earnings. Although childcare affects relative earnings contributions within the household, there is no effect on total household earnings.

Language
Englisch

Bibliographic citation
Series: ZEW Discussion Papers ; No. 20-050

Classification
Wirtschaft
Labor and Demographic Economics: General
Fertility; Family Planning; Child Care; Children; Youth
Economics of Gender; Non-labor Discrimination
Fiscal Policies and Behavior of Economic Agents: Household
Subject
child penalty
childcare
parental employment
gender wage gap

Event
Geistige Schöpfung
(who)
Krapf, Matthias
Roth, Anja
Slotwinski, Michaela
Event
Veröffentlichung
(who)
ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung
(where)
Mannheim
(when)
2020

Handle
Last update
10.03.2025, 11:42 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Krapf, Matthias
  • Roth, Anja
  • Slotwinski, Michaela
  • ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung

Time of origin

  • 2020

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