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Cash-for-care policy in Sweden: a study of its consequences on female employment

Author

Listed:
  • Giuliana Giuliani

    (European University Institute)

  • Ann-Zofie Duvander

    (University of Stockholm)

Abstract

In 2008, Sweden introduced a cash-for-care benefit consisting of a flat-rate sum paid by municipalities to parents of children between the ages of one and three who did not use publicly subsidized childcare. The main object of the reform was to increase parents? ?freedom to choose?, but the policy was criticized because of its potentially negative effects on gender equality and mothers? employment. This study focuses on the effects of cash-for-care on female employment in Sweden. The study shows that the adoption of this policy had negative effects on female employment rates and female employment growth rates in non-urban areas. Cash-for-care was abolished in Sweden in 2016, but similar policies are still in place in other Scandinavian countries. This research contributes to the debate on family policy and its developments, in particular in Scandinavian countries.

Suggested Citation

  • Giuliana Giuliani & Ann-Zofie Duvander, 2016. "Cash-for-care policy in Sweden: a study of its consequences on female employment," Proceedings of International Academic Conferences 4106714, International Institute of Social and Economic Sciences.
    • Handle: RePEc:sek:iacpro:4106714
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    File URL: https://iises.net/proceedings/25th-international-academic-conference-oecd-paris/table-of-content/detail?cid=41&iid=026&rid=6714
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    More about this item

    Keywords

    cash-for-care; family policy; female employment;
    All these keywords.

    JEL classification:

    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth

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