TY  - JOUR
AU  - Hotz,V. Joseph
AU  - Xiao,Mo
TI  - The Impact of Regulations on the Supply and Quality of Care in Child Care Markets
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 11873
PY  - 2005
Y2  - December 2005
UR  - http://www.nber.org/papers/w11873
L1  - http://www.nber.org/papers/w11873.pdf
N1  - Author contact info:
V. Joseph Hotz
Department of Economics
Box 90097
Duke University
Durham, NC 27708-0097
Tel: 919-660-1841
Fax: 919-684-8974
E-Mail: hotz@econ.duke.edu

Mo Xiao
260 Heady Hall
Iowa State University
Ames, IA 50011-1070
E-Mail: mxiao@email.arizona.edu
AB  - We examine the impact of state child care regulations on the supply and quality of care in child care markets. We exploit panel data on both individual establishments and local markets to control for state, time, and, where possible, establishment-specific fixed effects to mitigate the potential bias due to policy endogeneity. We find that the imposition of regulations reduces the number of center-based child care establishments, especially in lower income markets. However, such regulations increase the quality of services provided, especially in higher income areas. Thus, there are winners and losers from the regulation of child care services.
ER  -