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Long-term Effects of Cash for Childcare on Mothers' Labour Supply

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  • Marit Rønsen
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    Abstract

    In 1998-99 a cash benefit for 1- to 2-year-olds who do not use subsidized childcare on full-time basis was introduced in Norway. A large-scale appraisal shortly after introduction concluded that the effects on mothers' labour supply were surprisingly small. The more long-term effects reported in this paper suggest that this conclusion may need modification. Almost 4 years after the reform the employment probability had declined significantly, and employed mothers were much more likely to be on leave. All in all the reduction in labour supply is estimated to be 3� hours per week or almost 20 per cent. Copyright 2009 CEIS, Fondazione Giacomo Brodolini and Blackwell Publishing Ltd.

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    Bibliographic Info

    Article provided by CEIS in its journal LABOUR.

    Volume (Year): 23 (2009)
    Issue (Month): 3 (09)
    Pages: 507-533

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    Handle: RePEc:bla:labour:v:23:y:2009:i:3:p:507-533

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    Cited by:
    1. Eric Bettinger & Torbjørn Hægeland & Mari Rege, 2013. "Home with Mom: The effects of stay-at-home parents on children’s long-run educational outcomes," Discussion Papers 739, Research Department of Statistics Norway.
    2. Drange, Nina & Rege, Mari, 2013. "Trapped at home: The effect of mothers' temporary labor market exits on their subsequent work career," Labour Economics, Elsevier, vol. 24(C), pages 125-136.
    3. Marit Rønsen & Ragni Hege Kitterød, 2012. "Entry into work following childbirth among mothers in Norway. Recent trends and variation," Discussion Papers 702, Research Department of Statistics Norway.
    4. Ross Guest & Nick Parr, 2013. "Family policy and couples’ labour supply: an empirical assessment," Journal of Population Economics, Springer, vol. 26(4), pages 1631-1660, October.

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