García-Morán, Eva and Kuehn, Zoe (2012): With strings attached: Grandparent-provided child care, fertility, and female labor market outcomes.
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Grandparents are regular providers of free child care. Similar to any other form of child care, availability of grandparent-provided child care affects fertility and labor market decisions of women positively. We find that women in Germany, residing close to parents or in-laws are more likely to have children and that as mothers they are more likely to hold a regular part-or fulltime job. However, different from any other type of child care, for individuals to enjoy grandparent-provided child care on a regular basis, residence choices must coincide with those of parents or in-laws. Thus while living close provides access to free child care, it imposes costly spatial restrictions. We find that hourly wages of mothers residing close to parents or in-laws are lower compared to those residing further away, and having relatives taking care of ones' children increases the probability of having to commute. We build a general equilibrium model of residence choice, fertility decisions, and female labor force participation that can account for the relationships between grandparent-provided child care, fertility and labor market outcomes. We simulate our model to analyze how women's decisions regarding residence, fertility, and labor force participation change under different family policies.
|Item Type:||MPRA Paper|
|Original Title:||With strings attached: Grandparent-provided child care, fertility, and female labor market outcomes|
|Keywords:||informal child care, fertility, labor force participation, spatial restrictions, regional labor markets|
|Subjects:||H - Public Economics > H4 - Publicly Provided Goods > H42 - Publicly Provided Private Goods
J - Labor and Demographic Economics > J1 - Demographic Economics > J13 - Fertility; Family Planning; Child Care; Children; Youth
J - Labor and Demographic Economics > J6 - Mobility, Unemployment, and Vacancies > J61 - Geographic Labor Mobility; Immigrant Workers
R - Urban, Rural, Regional, Real Estate, and Transportation Economics > R2 - Household Analysis > R23 - Regional Migration; Regional Labor Markets; Population; Neighborhood Characteristics
|Depositing User:||Zoe Kuehn|
|Date Deposited:||29. Feb 2012 12:39|
|Last Modified:||18. Feb 2013 22:51|
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