G. Cleveland et al., CHILD-CARE COSTS AND THE EMPLOYMENT DECISION OF WOMEN - CANADIAN EVIDENCE, Canadian journal of economics, 29(1), 1996, pp. 132-151
We estimate the joint decision for women with preschool children to en
gage in paid employment and to purchase market forms of child care. Th
e results confirm those found in most U.S. studies, indicating that ch
ild care costs exert a significant negative effect on the labour suppl
y of women with children, and on their decision to purchase child care
. As well, the expected wage of the mother exerts a significant positi
ve impact on both the decision to purchase market forms of child care
and the decision to engage in paid employment.