Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/25864
Authors: 
Minagawa, Junichi
Upmann, Thorsten
Year of Publication: 
2006
Series/Report no.: 
CESifo working paper 1819
Abstract: 
In this paper, we present a model of a one parent one child household where parental decisions on labor supply, leisure, and the demand for private and public child care are simultaneously endogenized and intertemporally determined. We characterize the path of the optimal decisions and investigate the impact of various public child care fees and of the quality of public child care services on the parent's time allocation and the child's performance level. Our results show that different public child care policies may induce substantially diverging effects, and reveal that each policy frequently faces a trade off between an encouragement of labor supply and an enhancement of the child's performance.
JEL: 
D91
H24
H42
J13
J22
Document Type: 
Working Paper

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