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Collective Labor Supply and Child Care Expenditures: Theory and Application

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  • Chris Klaveren
  • Joris Ghysels

Abstract

In this study we examine the collective labor supply choices of dual-earner parents and take into account child care expenditures. We find that the individual labor supplies are hardly affected by changes in the prices of child care services. In addition, the child care price effects on the individual labor supplies are much smaller than the wage effects. Furthermore, we find that the additional earnings due to an increase in household non-labor income minus the child care expenditures are mainly transferred to the female partner.
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  • Chris Klaveren & Joris Ghysels, 2012. "Collective Labor Supply and Child Care Expenditures: Theory and Application," Journal of Labor Research, Springer, vol. 33(2), pages 196-224, June.
    • Handle: RePEc:spr:jlabre:v:33:y:2012:i:2:p:196-224
    DOI: 10.1007/s12122-011-9127-4
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    Cited by:

    1. Vela Espiago, Santiago, 2023. "Diferencias intrafamiliares en la oferta de trabajo: evidencia empírica para el caso de Reino Unido [Intrahousehold labor supply differences: Empirical evidence for the UK]," MPRA Paper 117342, University Library of Munich, Germany.
    2. D. Vandelannoote & P. Vanleenhove & A. Decoster & J. Ghysels & G. Verbist, 2015. "Maternal employment: the impact of triple rationing in childcare," Review of Economics of the Household, Springer, vol. 13(3), pages 685-707, September.
    3. Huihui LI, 2020. "Time Allocation to Housework and Childcare in Japan," Discussion Papers 2023, Graduate School of Economics, Kobe University.
    4. Rolf Aaberge & Ugo Colombino, 2014. "Labour Supply Models," Contributions to Economic Analysis, in: Handbook of Microsimulation Modelling, volume 127, pages 167-221, Emerald Group Publishing Limited.
    5. Donni, Olivier & Molina, José Alberto, 2018. "Household Collective Models: Three Decades of Theoretical Contributions and Empirical Evidence," IZA Discussion Papers 11915, Institute of Labor Economics (IZA).
    6. Bautista Lacambra, Sergio, 2020. "Household labor supply: Collective results for certain developed countries," MPRA Paper 101514, University Library of Munich, Germany.
    7. Wim Van Lancker & Joris Ghysels, 2010. "Female employment, institutions and the role of reference groups: a multilevel analysis of 22 European countries," Working Papers 1002, Herman Deleeck Centre for Social Policy, University of Antwerp.

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    More about this item

    Keywords

    Collective model; Labor supply; Child care; D12; D13; J22;
    All these keywords.

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply

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