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Having a Second Child and Access to Childcare: Evidence from European Countries

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Abstract

This paper shows that differences in fertility across European countries mainly emerge due to fewer women having two children in low fertility countries. It further suggests that childcare services are an important determinant for the transition to a second child to occur. The theoretical framework we propose suggests that: (i) in countries where childcare coverage is low, there is a U-shaped relationship between a couple's probability of having a second child and the woman's potential wage while (ii) in countries with easy access to childcare, this probability is positively related with the woman's potential wage. Data from the European Union Statistics on Income and Living Conditions (EU-SILC) confirm these implications when estimating a woman's probability of having a second child as a function of education. This implies that middle income women are the most affected ones by the lack of access to formal and subsidized childcare

Suggested Citation

  • Hippolyte d'Albis & Paula Gobbi & Angela Greulich, 2016. "Having a Second Child and Access to Childcare: Evidence from European Countries," Documents de travail du Centre d'Economie de la Sorbonne 16017r, Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne, revised Jan 2017.
  • Handle: RePEc:mse:cesdoc:16017r
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    File URL: ftp://mse.univ-paris1.fr/pub/mse/CES2016/16017R.pdf
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    References listed on IDEAS

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    Cited by:

    1. Hippolyte d'Albis & Angela Greulich & Grégory Ponthière, 2017. "Education, labour, and the demographic consequences of birth postponement in Europe," Demographic Research, Max Planck Institute for Demographic Research, Rostock, Germany, vol. 36(23), pages 691-728, February.

    More about this item

    Keywords

    Childcare; Education; Fertility; Female Employment;

    JEL classification:

    • J11 - Labor and Demographic Economics - - Demographic Economics - - - Demographic Trends, Macroeconomic Effects, and Forecasts
    • 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
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development

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