The Child Care Labor Market

Abstract

This study provides the first systematic analysis of the labor market behavior and characteristics of child care workers in the United States. A nationally representative sample of over 4, 000 child care workers from the 1977-87 March Current Population Surveys is used to provide an analysis of the characteristics of child care workers and to estimate a model of wages. The results indicate that child care workers' wages are generally unaffected by government subsidies and regulations, suggesting that the supply of child care labor is relatively elastic. Wages of child care workers have remained constant relative to other workers' wages from 1976-86 despite substantial real increases in child care subsidies. Relative wages of different classes of child care workers have also remained constant.