Early child development and parents' labor supply
利用工具变量方法处理内生性,发现儿童早期发展不良指数每增加一个单位,母亲每周工作时间减少9小时、周收入减少215澳元,而父亲无显著反应。
Summary The impact of children's early development status on parental labor market outcomes is not well established in the empirical literature. We combine an instrumental variable approach to account for the endogeneity of the development status with a model of nonrandom labor force participation to identify its impact. A one‐unit increase in our poor child development index reduces long‐term maternal weekly hours worked by 9 h and weekly income by A$215. We provide evidence that mothers substitute working time with childcare to compensate for early disadvantages. We do not find any responses of fathers to early child development.