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Female Labor Supply and Child Care Supply in Chile

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Author Info

  • Dante Contreras
  • Esteban Puentes
  • David Bravo

Abstract

We use a specially designed survey to evaluate the effect of several public policies on female labor force participation in Chile. First, we estimate a self-selection model to find the determinants of female labor participation and wages. Our participation estimates show that schooling is highly positively correlated with participation and being married or having a partner is negatively correlated with participation. Also, we found that having a daycare center close to either their home or place of work and that the center’s hours of operation match labor hours are positively correlated with participation. We simulate changes in these two variables: closeness and compatible hours, which can be subject to public intervention, and evaluate the effect on labor participation, poverty, household income and income inequality. All these policies have a positive impact on labor force participation, which could increase by eight percentage points. The per capita income of these women’s households increases by and 8%, however there is almost no effect on poverty and inequality since most of the women who benefit from these policies come from middle class households.

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Bibliographic Info

Paper provided by University of Chile, Department of Economics in its series Working Papers with number wp370.

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Length: 24 pages
Date of creation: Nov 2012
Date of revision:
Handle: RePEc:udc:wpaper:wp370

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Web page: http://www.econ.uchile.cl/
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References

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  1. Samuel Berlinski & Sebastian Galiani, 2004. "The effect of a large expansion of pre-primary school facilities on preschool attendance and maternal employment," IFS Working Papers W04/30, Institute for Fiscal Studies.
  2. Elizabeth Cascio, 2006. "Public Preschool and Maternal Labor Supply: Evidence from the Introduction of Kindergartens into American Public Schools," NBER Working Papers 12179, National Bureau of Economic Research, Inc.
  3. Michael Baker & Jonathan Gruber & Kevin Milligan, 2008. "Universal Child Care, Maternal Labor Supply, and Family Well-Being," Journal of Political Economy, University of Chicago Press, vol. 116(4), pages 709-745, 08.
  4. Jere R. Behrman & Yingmei Cheng & Petra E. Todd, 2004. "Evaluating Preschool Programs When Length of Exposure to the Program Varies: A Nonparametric Approach," The Review of Economics and Statistics, MIT Press, vol. 86(1), pages 108-132, February.
  5. James Heckman & Pedro Carneiro & Flavio Cunha, 2004. "The Technology of Skill Formation," 2004 Meeting Papers 681, Society for Economic Dynamics.
  6. Jenny Encina & Claudia Martínez, 2009. "Efecto de una mayor cobertura de salas cuna en la participación laboral femenina: evidencia de Chile," Working Papers wp303, University of Chile, Department of Economics.
  7. Dante Contreras & Gonzalo Plaza, 2010. "Cultural Factors in Women's Labor Force Participation in Chile," Feminist Economics, Taylor & Francis Journals, vol. 16(2), pages 27-46.
  8. Dante Contreras & Esteban Puentes & David Bravo, 2005. "Female labour force participation in greater santiago, Chile: 1957-1997. A synthetic cohort analysis," Journal of International Development, John Wiley & Sons, Ltd., vol. 17(2), pages 169-186.
  9. Killingsworth, Mark R. & Heckman, James J., 1987. "Female labor supply: A survey," Handbook of Labor Economics, in: O. Ashenfelter & R. Layard (ed.), Handbook of Labor Economics, edition 1, volume 1, chapter 2, pages 103-204 Elsevier.
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Cited by:
  1. World Bank, 2011. "Work and Family : Latin American and Caribbean Women in Search of a New Balance," World Bank Other Operational Studies 12489, The World Bank.

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