CInSt Research Seminar "Intergenerational Childcare. How Grandchildren Affect Female Labour Supply?": Francisco Cabrera (HSE University)

Francisco Cabrera will present his paper "Intergenerational Childcare. How Grandchildren Affect Female Labour Supply?" on the regular CInSt research seminar on 16th April

In many economies there is an inter-generational family network where grandparents transfer large amounts of time and money to their grandchildren. This study analyzes the effect of childcare provision on the labor supply of grandmothers with school-age grandchildren in the context of Mexico’s Full-Time Schools Program. We document how the availability of all-day schools in a municipality affects grandmothers’ decision to participate in the labor market both at the extensive and intensive margins. We estimate these effects using within individual variation in the availability of all-day schools and a rotating panel of households with quarterly individual-level data from 2005 to 2018. Preliminary results indicate that childcare subsidies, through longer school days, increase grandmothers’ labor supply at the extensive margin, especially for those living in high-poverty localities and with lower education levels.