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Female Labor Supply and Child Care Supply in Chile

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  • Dante Contreras
  • Esteban Puentes
  • David Bravo

Abstract

We use a specially designed survey to evaluate the effect of several public policies on female labor force participation in Chile. First, we estimate a self-selection model to find the determinants of female labor participation and wages. Our participation estimates show that schooling is highly positively correlated with participation and being married or having a partner is negatively correlated with participation. Also, we found that having a daycare center close to either their home or place of work and that the center’s hours of operation match labor hours are positively correlated with participation. We simulate changes in these two variables: closeness and compatible hours, which can be subject to public intervention, and evaluate the effect on labor participation, poverty, household income and income inequality. All these policies have a positive impact on labor force participation, which could increase by eight percentage points. The per capita income of these women’s households increases by and 8%, however there is almost no effect on poverty and inequality since most of the women who benefit from these policies come from middle class households.

Suggested Citation

  • Dante Contreras & Esteban Puentes & David Bravo, 2012. "Female Labor Supply and Child Care Supply in Chile," Working Papers wp370, University of Chile, Department of Economics.
    • Handle: RePEc:udc:wpaper:wp370
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    References listed on IDEAS

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    Cited by:

    1. Campaña, Juan Carlos & Gimenez-Nadal, José Ignacio & Molina, José Alberto, 2018. "Efficient Labor Supply for Latin Families: Is the Intra-Household Bargaining Power Relevant?," IZA Discussion Papers 11695, Institute of Labor Economics (IZA).
    2. Dante Contreras & Paulina Sepúlveda, 2017. "Effect of Lengthening the School Day on Mother's Labor Supply," The World Bank Economic Review, World Bank, vol. 31(3), pages 747-766.
    3. repec:idb:brikps:7203 is not listed on IDEAS
    4. Daniela Del Boca, 2015. "Child Care Arrangements and Labor Supply," IDB Publications (Working Papers) 88074, Inter-American Development Bank.
    5. Bosch, María José & García, Carlos J. & Manríquez, Marta & Valenzuela, Gabriel, 2018. "Macroeconomía y conciliación familiar: el impacto económico de los jardines infantiles," El Trimestre Económico, Fondo de Cultura Económica, vol. 0(339), pages .543-582, julio-sep.
    6. Colacce, Maira & Manzi, Pilar, 2017. "El cuidado de la población uruguaya y la creación del Sistema Nacional Integrado de Cuidados: una mirada de largo plazo," Estudios y Perspectivas – Oficina de la CEPAL en Montevideo 42058, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    7. Juan Carlos, Campaña & J. Ignacio, Giménez-Nadal & Jose Alberto, Molina, 2017. "Differences between self-employed and employed mothers in balancing family and work responsibilities: Evidence from Latin American countries," MPRA Paper 77964, University Library of Munich, Germany.
    8. Francisco Parro G. & Loreto Reyes R., 2019. "Economic growth and the Chilean labor market," Journal Economía Chilena (The Chilean Economy), Central Bank of Chile, vol. 22(2), pages 070-095, August.
    9. Verónica Alaimo & Mariano Bosch & David S. Kaplan & Carmen Pagés & Laura Ripani, 2015. "Jobs for Growth," IDB Publications (Books), Inter-American Development Bank, number 90977, February.
    10. Miguel Jaramillo-Baanante, 2017. "Fertility and women’s work in a demographic transition: evidence from Peru," Working Papers 90, Peruvian Economic Association.
    11. World Bank, 2011. "Work and Family : Latin American and Caribbean Women in Search of a New Balance [Trabajo & familia : mujeres de América Latina y el Caribe en busca de un nuevo equilibrio - Resumen ejecuivo (Vol. 2," World Bank Publications - Reports 12489, The World Bank Group.
    12. Francisca Dussaillant, 2016. "Usage of Child Care and Education Centers," SAGE Open, , vol. 6(2), pages 21582440166, June.
    13. Juan Carlos Campaña & J. Ignacio Giménez-Nadal & José Alberto Molina, 2020. "Self-employed and Employed Mothers in Latin American Families: Are There Differences in Paid Work, Unpaid Work, and Child Care?," Journal of Family and Economic Issues, Springer, vol. 41(1), pages 52-69, March.

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