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Care or Cash? The Effect of Child Care Subsidies on Student Performance / Sandra E. Black, Paul J. Devereux, Katrine V. Løken, Kjell G. Salvanes.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Black, Sandra E.
Contributor:
Devereux, Paul J.
Løken, Katrine V.
Salvanes, Kjell G.
National Bureau of Economic Research.
Series:
Working Paper Series (National Bureau of Economic Research) no. w18086.
NBER working paper series no. w18086
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 2012.
Summary:
Given the wide use of childcare subsidies across countries, it is surprising how little we know about the effect of these subsidies on children's longer run outcomes. Using a sharp discontinuity in the price of childcare in Norway, we are able to isolate the effects of childcare subsidies on both parental and student outcomes. We find very small and statistically insignificant effects of childcare subsidies on childcare utilization and parental labor force participation. Despite this, we find significant positive effect of the subsidies on children's academic performance in junior high school, suggesting the positive shock to disposable income provided by the subsidies may be helping to improve children's scholastic aptitude.
Notes:
May 2012.
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