Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/110706 
Year of Publication: 
2015
Series/Report no.: 
IZA Discussion Papers No. 8976
Publisher: 
Institute for the Study of Labor (IZA), Bonn
Abstract: 
The undersupply of spots in German daycare facilities for toddlers challenges parents' possibilities to work. To ease the situation, the government implemented a new law entitling every child between ages one and three to daycare supervision for about four hours per day. Nevertheless, the stressed situation of matching demand and supply does not only result from limited spaces but also from inefficient allocation. By means of simulations under different scenarios, we contrast a stylized version of decentralized allocation to a centralized allocation mechanism which applies a deferred-acceptance algorithm. This centralized system results in better and faster matches.
Subjects: 
allocation mechanism
deferred-acceptance algorithm
early education
child care
JEL: 
C78
D82
J13
Document Type: 
Working Paper

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