Labour Supply and Childcare: Allowing Both Parents to Choose
Karen Mumford (),
Antonia Parera-Nicolau and
Yolanda Pena-Boquete ()
Additional contact information
Antonia Parera-Nicolau: European Commission
Yolanda Pena-Boquete: University of Santiago de Compostela, Spain
No 12500, IZA Discussion Papers from Institute of Labor Economics (IZA)
Abstract:
We develop and estimate a structural model of labour supply for two parent families in Australia, taking explicit account of the importance of childcare related variables. Our main contribution is to consider the labour supply decisions of both parents and their choice of childcare simultaneously. Labour supply decisions of mothers are found to be substantially more responsive to changes in their own wage (at intensive and extensive margins) than is the case for fathers, with minimal cross-wage labour supply responses from fathers. Our results imply that policies increasing the wage of mothers will be associated with marked increases in labour market participation and in the working hours of mothers in the Australian labour market, with little offsetting decline in the labour supply of fathers.
Keywords: childcare; parental labour supply; discrete; unitary (search for similar items in EconPapers)
JEL-codes: J00 J13 J22 (search for similar items in EconPapers)
Pages: 35 pages
Date: 2019-07
New Economics Papers: this item is included in nep-lma
References: View references in EconPapers View complete reference list from CitEc
Citations:
Forthcoming - published in: Oxford Bulletin of Economics and Statistics, 2020, 82(3), 577-602.
Downloads: (external link)
https://docs.iza.org/dp12500.pdf (application/pdf)
Related works:
Journal Article: Labour Supply and Childcare: Allowing Both Parents to Choose (2020) 
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:iza:izadps:dp12500
Ordering information: This working paper can be ordered from
IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany
Access Statistics for this paper
More papers in IZA Discussion Papers from Institute of Labor Economics (IZA) IZA, P.O. Box 7240, D-53072 Bonn, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Holger Hinte ().