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The Multigenerational Impact of Children and Childcare Policies

Author

Listed:
  • Sencer Karademir
  • Jean-William Laliberté
  • Stefan Staubli

Abstract

This paper examines the multigenerational impact of children and whether the public provision of formal childcare lessens the earnings and employment impacts of children. We find that the arrival of a firstborn reduces employment and earnings of mothers and employment of grandmothers. Studying a universal childcare program in Quebec, we find that formal childcare increases the employment rates of mothers as well as that of grandmothers to a lesser extent. Examining heterogeneity of the program’s impact across census divisions, we find a negative correlation between the positive effects on mothers’ employment and the prepolicy supply of informal childcare by grandmothers.

Suggested Citation

  • Sencer Karademir & Jean-William Laliberté & Stefan Staubli, 2026. "The Multigenerational Impact of Children and Childcare Policies," Journal of Labor Economics, University of Chicago Press, vol. 44(1), pages 189-227.
    • Handle: RePEc:ucp:jlabec:doi:10.1086/732358
    DOI: 10.1086/732358
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    Citations

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    Cited by:

    1. Jessen, Jonas & Kinne, Lavinia & Battisti, Michele, 2026. "Child penalties in labour market skills," European Economic Review, Elsevier, vol. 184(C).
    2. Dmitry Arkhangelsky & Kazuharu Yanagimoto & Tom Zohar, 2025. "Using Event Studies as an Outcome in Causal Analysis," Working Papers wp2025_2503, CEMFI.
    3. Gørtz, Mette & Sander, Sarah & Sevilla, Almudena, 2023. "Does the Child Penalty Strike Twice, and If So Why?," IZA Discussion Papers 16557, IZA Network @ LISER.
    4. Elif Tasar & John Voorheis, 2025. "Parental Death, Inheritance, and Labor Supply in the United States," Working Papers 25-71, Center for Economic Studies, U.S. Census Bureau.
    5. Marie Connolly & Marie Melanie Fontaine & Catherine Haeck, 2023. "Child Penalties in Canada," Working Papers 23-02, Research Group on Human Capital, University of Quebec in Montreal's School of Management.
    6. LoRiggio, Tessa & Morris, Todd, 2024. "The Gender Wealth Gap near Retirement in Canada," IZA Policy Papers 207, Institute of Labor Economics (IZA).
    7. Gørtz, Mette & Sander, Sarah & Sevilla, Almudena, 2025. "Does the child penalty strike twice?," European Economic Review, Elsevier, vol. 172(C).
    8. Aneta Bonikowska, 2024. "Gender earnings ratio differences among population groups in Canada," Economic and Social Reports 202401100003e, Statistics Canada, Analytical Studies and Modelling Branch.
    9. Cobb-Clark, Deborah A. & Dang, Tung & Fisher, Hayley, 2025. "Daycare Accessibility and Maternal Labor Market Outcomes: Do Quality Ratings Matter?," IZA Discussion Papers 18300, IZA Network @ LISER.
    10. Lee, Siha & Liu, Sitian, 2024. "Fertility incentives in Canada: A cohort analysis," CLEF Working Paper Series 75, Canadian Labour Economics Forum (CLEF), University of Waterloo.

    More about this item

    JEL classification:

    • H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household
    • H42 - Public Economics - - Publicly Provided Goods - - - Publicly Provided Private Goods
    • J08 - Labor and Demographic Economics - - General - - - Labor Economics Policies
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination
    • J18 - Labor and Demographic Economics - - Demographic Economics - - - Public Policy
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply

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