Early Child Care, Maternal Labor Supply, and Gender Equality: A Randomized Controlled Trial?
Henning Hermes, Marina Krauß, Philipp Lergetporer, Frauke Peter, Simon Wiederhold
IWH Discussion Papers,
No. 14,
2024
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.
Read article
Application Barriers and the Socioeconomic Gap in Child Care Enrollment
Henning Hermes, Philipp Lergetporer, Frauke Peter, Simon Wiederhold
IWH Discussion Papers,
No. 13,
2024
Abstract
Why are children with lower socioeconomic status (SES) substantially less likely to be enrolled in child care? We study whether barriers in the application process work against lower-SES children — the group known to benefit strongest from child care enrollment. In an RCT in Germany with highly subsidized child care (N = 607), we offer treated families information and personal assistance for applications. We find substantial, equity-enhancing effects of the treatment, closing half of the large SES gap in child care enrollment. Increased enrollment for lower-SES families is likely driven by altered application knowledge and behavior. We discuss scalability of our intervention and derive policy implications for the design of universal child care programs.
Read article
Media Response
Media Response November 2024 Steffen Müller: Firmaer er oftere i problemer in: Flensborg Avis, 22.11.2024 Steffen Müller: Zahl der Insolvenzen steigt in: Süddeutsche.de,…
See page
Economic Outlook
Joint Economic Forecast Autumn 2024 German economy in transition ‒ weak momentum, low potential growth September 26, 2024 The Joint Economic Forecast Project Group forecasts a…
See page
East Germany
The Nasty Gap 30 years after unification: Why East Germany is still 20% poorer than the West Dossier In a nutshell The East German economic convergence process is hardly…
See page
Privacy
Data Protection Policy We take the protection of your personal data very seriously and treat your personal data with confidentiality and in compliance with the provisions of law…
See page
Behaviour
The maths behind gut decisions First carefully weigh up the costs and benefits and then make a rational decision. This may be the way we want it to be. But in reality, invisible…
See page
Research Clusters
Three Research Clusters Research Cluster "Economic Dynamics and Stability" Research Questions This cluster focuses on empirical analyses of macroeconomic dynamics and stability.…
See page
Income and savings
Income and savings Primary income of the private households The primary income of the private households (including private non-profit organisations) includes the income from…
See page
Projects
Our Projects 07.2022 ‐ 12.2026 Evaluation of the InvKG and the federal STARK programme On behalf of the Federal Ministry of Economics and Climate Protection, the IWH and the RWI…
See page
