Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/180594 
Year of Publication: 
2018
Series/Report no.: 
IZA Discussion Papers No. 11576
Publisher: 
Institute of Labor Economics (IZA), Bonn
Abstract: 
We study the impact of child care for toddlers on the labor supply of mothers and fathers in Norway. For identification, we exploit the staggered expansion across municipalities following a large reform from 2002. Our IV-estimates indicate that child care use causes an increase in the labor supply of mothers. Results suggest that cohabiting mothers move towards full time employment, while single mothers move to part time. Meanwhile, we find no impact for fathers or grandparents. We also find an increase in the taxes paid from cohabiting mothers, lending some support to the argument that parts of the cost of child care is offset by increased taxes.
Subjects: 
child care
female labor supply
tax revenue
instrumental variables
JEL: 
H24
H52
J13
J22
Document Type: 
Working Paper

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