IDEAS home Printed from https://ideas.repec.org/p/lev/wrkpap/wp_610.html
   My bibliography  Save this paper

Investing in Care: A Strategy for Effective and Equitable Job Creation

Author

Listed:
  • Rania Antonopoulos
  • Kijong Kim
  • Tom Masterson
  • Ajit Zacharias

Abstract

Massive job losses in the United States, over eight million since the onset of the "Great Recession," call for job creation measures through fiscal expansion. In this paper we analyze the job creation potential of social service–delivery sectors-early childhood development and home-based health care-as compared to other proposed alternatives in infrastructure construction and energy. Our microsimulation results suggest that investing in the care sector creates more jobs in total, at double the rate of infrastructure investment. The second finding is that these jobs are more effective in reaching disadvantaged workers-those from poor households and with lower levels of educational attainment. Job creation in these sectors can easily be rolled out. States already have mechanisms and implementation capacity in place. All that is required is policy recalibration to allow funds to be channeled into sectors that deliver jobs both more efficiently and more equitably.

Suggested Citation

  • Rania Antonopoulos & Kijong Kim & Tom Masterson & Ajit Zacharias, 2010. "Investing in Care: A Strategy for Effective and Equitable Job Creation," Economics Working Paper Archive wp_610, Levy Economics Institute.
  • Handle: RePEc:lev:wrkpap:wp_610
    as

    Download full text from publisher

    File URL: http://www.levyinstitute.org/pubs/wp_610.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Olivier Jean Blanchard & Peter Diamond, 1994. "Ranking, Unemployment Duration, and Wages," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 61(3), pages 417-434.
    2. Ajit Zacharias & Thomas Masterson & Kijong Kim, 2009. "Distributional Impact of the American Recovery and Reinvestment Act-- A Microsimulation Approach," Economics Working Paper Archive wp_568, Levy Economics Institute.
    3. International Monetary Fund, 2010. "Deconstructing the International Business Cycle: Why does a U.S. sneeze give the rest of the world a cold?," IMF Working Papers 2010/239, International Monetary Fund.
    4. James J. Heckman & Dimitriy V. Masterov, 2007. "The Productivity Argument for Investing in Young Children," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 29(3), pages 446-493.
    5. Timothy J. Bartik, 2004. "Economic Development," Book chapters authored by Upjohn Institute researchers, in: J. Richard Aronson & Eli Schwartz (ed.),Managememnt Policies in Local Government Finance, pages 355-390, W.E. Upjohn Institute for Employment Research.
    6. Robert Pollin & James Heintz & Heidi Garrett-Peltier, 2009. "The Economic Benefits of Investing in Clean Energy: How the Economic Stimulus Program and New Legislation Can Boost U.S. Economic Growth and Employment," Published Studies economic_benefits, Political Economy Research Institute, University of Massachusetts at Amherst.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Özlem Onaran & Cem Oyvat & Eurydice Fotopoulou, 2019. "The effects of gender inequality, wages, wealth concentration and fiscal policy on macroeconomic performance," FMM Working Paper 50-2019, IMK at the Hans Boeckler Foundation, Macroeconomic Policy Institute.
    2. Dimitri B. Papadimitriou & Greg Hannsgen & Gennaro Zezza, 2011. "Is the Recovery Sustainable?," Economics Strategic Analysis Archive sa_dec_11, Levy Economics Institute.
    3. Dimitri B. Papadimitriou & Greg Hannsgen & Michalis Nikiforos, 2013. "Is the Link between Output and Jobs Broken?," Economics Strategic Analysis Archive sa_mar_13, Levy Economics Institute.
    4. Rania Antonopoulos, 2013. "Expanding Social Protection in Developing Countries: A Gender Perspective," Economics Working Paper Archive wp_757, Levy Economics Institute.
    5. Kim, Kijong & İlkkaracan, İpek & Kaya, Tolga, 2019. "Public investment in care services in Turkey: Promoting employment & gender inclusive growth," Journal of Policy Modeling, Elsevier, vol. 41(6), pages 1210-1229.
    6. Rania Antonopoulos, 2013. "From Safety Nets to Economic Empowerment: Is There Space to Promote Gender Equality in the Evolution of Social Protection?," Economics Public Policy Brief Archive ppb_128, Levy Economics Institute.
    7. Jerome De Henau & Susan Himmelweit, 2020. "Developing a Macro-Micro Model for Analyzing Gender Impacts of Public Policy," Economics Working Paper Archive wp_966, Levy Economics Institute.
    8. Onaran, Özlem & Oyvat, Cem, 2023. "The effects of public spending in the green and the care economy: the case of South Korea," Greenwich Papers in Political Economy 38766, University of Greenwich, Greenwich Political Economy Research Centre.
    9. Pedro Romero Marques & Luiza Nassif Pires & Tainari Taioka & Jose Bergamin & Gilberto Tadeu Lima, 2024. "Amazon Green Recovery and Labor Market in Brazil: Can Green Spending Reduce Gender and Race Inequalities?," Working Papers, Department of Economics 2024_09, University of São Paulo (FEA-USP).
    10. Maria Laura Ojeda & María Priscila Ramos & Carlos Adrián Romero, 2022. "Economía del Cuidado en Argentina: Evaluación de políticas bajo un enfoque de Insumo Producto," Asociación Argentina de Economía Política: Working Papers 4579, Asociación Argentina de Economía Política.
    11. Kijong Kim & Rania Antonopoulos, 2011. "Unpaid and Paid Care: The Effects of Child Care and Elder Care on the Standard of Living," Economics Working Paper Archive wp_691, Levy Economics Institute.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jeffrey Thompson, 2010. "Prioritizing Approaches to Economic Development in New England: Skills, Infrastructure, and Tax Incentives," Published Studies priorities_september7_per, Political Economy Research Institute, University of Massachusetts at Amherst.
    2. Rania Antonopoulos & Kijong Kim & Thomas Masterson & Andajit Zacharias, 2010. "Why President Obama Should Care About 'Care': An Effective and Equitable Investment Strategy for Job Creation," Economics Public Policy Brief Archive ppb_108, Levy Economics Institute.
    3. Tahir Andrabi & Jishnu Das & Asim Ijaz Khwaja & Tristan Zajonc, 2011. "Do Value-Added Estimates Add Value? Accounting for Learning Dynamics," American Economic Journal: Applied Economics, American Economic Association, vol. 3(3), pages 29-54, July.
    4. Dinand Webbink & Sunčica Vujić & Pierre Koning & Nicholas G. Martin, 2012. "The Effect Of Childhood Conduct Disorder On Human Capital," Health Economics, John Wiley & Sons, Ltd., vol. 21(8), pages 928-945, August.
    5. A Rodrigo & M Vazquez & C Carrera, 2006. "Markovian networks in labour markets," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 57(5), pages 526-531, May.
    6. Michael Marmot & Ruth Bell & Angela Donkin, 2013. "Tackling Structural and Social Issues to Reduce Inequities in Children’s Outcomes in Low- to Middle-income Countries," Papers indipa708, Innocenti Discussion Papers.
    7. Lex Borghans & Angela Lee Duckworth & James J. Heckman & Bas ter Weel, 2008. "The Economics and Psychology of Personality Traits," Journal of Human Resources, University of Wisconsin Press, vol. 43(4).
    8. Domadenik, Polona & Far?nik, Daša & Pastore, Francesco, 2013. "Horizontal Mismatch in the Labour Market of Graduates: The Role of Signalling," IZA Discussion Papers 7527, Institute of Labor Economics (IZA).
    9. Elad DeMalach & Analia Schlosser, 2024. "Short- and Long-Term Effects of Universal Preschool: Evidence from the Arab Population in Israel," CESifo Working Paper Series 10904, CESifo.
    10. Kasim Allel & Gerard Abou Jaoude & Stavros Poupakis & Neha Batura & Jolene Skordis & Hassan Haghparast-Bidgoli, 2021. "Exploring the Associations between Early Childhood Development Outcomes and Ecological Country-Level Factors across Low- and Middle-Income Countries," IJERPH, MDPI, vol. 18(7), pages 1-15, March.
    11. Maclean, Johanna Catherine & Popovici, Ioana & French, Michael T., 2016. "Are natural disasters in early childhood associated with mental health and substance use disorders as an adult?," Social Science & Medicine, Elsevier, vol. 151(C), pages 78-91.
    12. Kurmaş Akdoğan, 2017. "Unemployment hysteresis and structural change in Europe," Empirical Economics, Springer, vol. 53(4), pages 1415-1440, December.
    13. Apps, Patricia & Mendolia, Silvia & Walker, Ian, 2013. "The impact of pre-school on adolescents’ outcomes: Evidence from a recent English cohort," Economics of Education Review, Elsevier, vol. 37(C), pages 183-199.
    14. Takuya Obara & Yoshitomo Ogawa, 2024. "Optimal taxation in an endogenous fertility model with non-cooperative behavior," Review of Economics of the Household, Springer, vol. 22(1), pages 173-197, March.
    15. Ewa Gałecka-Burdziak, 2012. "Labour market matching – the case of Poland," Bank i Kredyt, Narodowy Bank Polski, vol. 43(3), pages 31-46.
    16. Fujii, Tomoki & Shonchoy, Abu S. & Xu, Sijia, 2018. "Impact of Electrification on Children’s Nutritional Status in Rural Bangladesh," World Development, Elsevier, vol. 102(C), pages 315-330.
    17. Peter Diamond, 2011. "Unemployment, Vacancies, Wages," American Economic Review, American Economic Association, vol. 101(4), pages 1045-1072, June.
    18. Teyssiere, Gilles, 1995. "Matching processes in the labour market an econometric study," Labour Economics, Elsevier, vol. 2(4), pages 421-435, December.
    19. Reinhold Kosfeld & Christian Dreger & Hans-Friedrich Eckey, 2008. "On the stability of the German Beveridge curve: a spatial econometric perspective," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 42(4), pages 967-986, December.
    20. Camille Logeay & Silke Tober, 2003. "Time-varying Nairu and Real Interest Rates in the Euro Area," Discussion Papers of DIW Berlin 351, DIW Berlin, German Institute for Economic Research.

    More about this item

    Keywords

    Social Care; Job Creation; Fiscal Expansion; Distribution; Infrastructure;
    All these keywords.

    JEL classification:

    • D30 - Microeconomics - - Distribution - - - General
    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy; Modern Monetary Theory
    • J48 - Labor and Demographic Economics - - Particular Labor Markets - - - Particular Labor Markets; Public Policy

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:lev:wrkpap:wp_610. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Elizabeth Dunn (email available below). General contact details of provider: http://www.levyinstitute.org .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.