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Maternal employment and child care decision

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  • Katja Coneus
  • Kathrin Goeggel
  • Grit Muehler

Abstract

When estimating the determinants of child care participation, the simultaneity in mothers' decision to work and in the decision to use child care is a major challenge. We provide first evidence on the determinants of institutional child care use addressing the endogeneity of mothers' labor supply by applying an instrumental variables approach. This endogeneity has often been neglected in studies on child care choice, even though the decision to use child care outside the home is strongly connected to mothers' decision to work after childbirth and vice versa. Based on the German Socio-economic Panel (SOEP) from 1989 to 2006 we show that children living in West Germany have a higher probability to attend institutional care if their mothers increase their actual weekly working time. Estimating the determining factors of child care participation without addressing the simultaneity issue substantially underestimates the influence of maternal working time. Copyright 2009 , Oxford University Press.

Suggested Citation

  • Katja Coneus & Kathrin Goeggel & Grit Muehler, 2009. "Maternal employment and child care decision," Oxford Economic Papers, Oxford University Press, vol. 61(suppl_1), pages 172-188, April.
  • Handle: RePEc:oup:oxecpp:v:61:y:2009:i:suppl_1:p:i172-i188
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    File URL: http://hdl.handle.net/10.1093/oep/gpn047
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    Cited by:

    1. Chiara Daniela Pronzato & Giuseppe Sorrenti, 2015. "When Context Does Matter. Childcare and Maternal Employment: Trying to Solve the Puzzle," ifo DICE Report, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 13(1), pages 03-08, 04.
    2. Bauernschuster, Stefan & Schlotter, Martin, 2015. "Public child care and mothers' labor supply—Evidence from two quasi-experiments," Journal of Public Economics, Elsevier, vol. 123(C), pages 1-16.
    3. Georgia S. Papoutsi & Andreas C. Drichoutis & Rodolfo M. Nayga Jr., 2013. "The Causes Of Childhood Obesity: A Survey," Journal of Economic Surveys, Wiley Blackwell, vol. 27(4), pages 743-767, September.
    4. Martin Schlotter, 2012. "Educational Production in Preschools and Schools - Microeconometric Evidence from Germany," ifo Beiträge zur Wirtschaftsforschung, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, number 41, November.
    5. Sook-Yeon Won, 2016. "State Policy? Traditional Gender Stereotypes? Relative Contributions of Factors Affecting Positive Work–Family Interface for Working Mothers in Korea," Gender, Work and Organization, Wiley Blackwell, vol. 23(2), pages 147-164, March.
    6. repec:bla:indrel:v:47:y:2016:i:5-6:p:454-472 is not listed on IDEAS
    7. Müller, Kai-Uwe & Wrohlich, Katharina & Sengül, Denise, 2016. "Does subsidized care for toddlers increase maternal labor supply? Evidence from a large-scale expansion of early childcare," Annual Conference 2016 (Augsburg): Demographic Change 145654, Verein für Socialpolitik / German Economic Association.
    8. repec:ces:ifodic:v:13:y:2015:i:1:p:19160199 is not listed on IDEAS

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