Filling the Gaps: Childcare Laws for Women's Economic Empowerment

S Anukriti, Lelys Dinarte-Diaz, Maria Montoya-Aguirre and Alena Sakhonchik

AEA Papers and Proceedings, 2025, vol. 115, 689-94

Abstract: This paper investigates the effects of legislation governing the availability, affordability, or quality of center-based childcare services on women's labor market outcomes around the world. Using a difference-in-difference design, we find that childcare laws increase female labor force participation (FLFP) by up to 2.2 percent. Affordability has the largest positive impact, followed by availability and quality. Results indicate gradual improvements in FLFP post-law enactment, highlighting the role of legislation in addressing gendered caregiving burdens and enhancing women's economic opportunities. These findings underscore the importance of how childcare laws offer instrumental returns in other dimensions of gender equality and economic development.

JEL-codes: J13 J16 J22 J32 K31 (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1257/pandp.20251131

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