Determinants of Child Care Participation


Coneus, Katja ; Göggel, Kathrin ; Mühler, Grit


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URL: https://ub-madoc.bib.uni-mannheim.de/1794
URN: urn:nbn:de:bsz:180-madoc-17940
Document Type: Working paper
Year of publication: 2007
The title of a journal, publication series: None
Publication language: English
Institution: Sonstige Einrichtungen > ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung
MADOC publication series: Veröffentlichungen des ZEW (Leibniz-Zentrum für Europäische Wirtschaftsforschung) > ZEW Discussion Papers
Subject: 330 Economics
Classification: JEL: J22 J13 I21 ,
Subject headings (SWD): Frauenarbeit , Kinderbetreuung , Auswahl , Kindergartenbesuch , Deutschland
Keywords (English): child care choice , kindergarten attendance , maternal employment
Abstract: When estimating the determinants of child care participation, the simultaneity in mothers' decision to work and in the decision to use child care is a major challenge. In this study, we provide evidence on the determinants of institutional child care use accounting for the endogeneity of mothers' labor supply by applying an instrumental variables approach. This endogeneity has been neglected in studies on this issue so far, even though the decision to use child care outside the home is strongly connected to mothers' decision to work after childbirth and vice versa. Based on the German Socio-economic Panel (GSOEP) from 1989-2006 we show that children living in Western Germany have a higher probability to attend institutional care if their mothers increase their actual weekly working time. Estimating the determining factors of child care participation without correcting for simultaneity underestimates the influence of maternal working time by more than a half.
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