Template-Type: ReDIF-Paper 1.0
Title: Taxing Families: The Impact of Child-related Transfers on Maternal Labor Supply
Author-Name: Anne Hannusch
Author-Email: hannusch@uni-mannheim.de
Classification-JEL: E62, H24, H31, J12, J22
Keywords: Maternal Labor Supply, Nonlinear Transfers, Taxation, Two-earner Households 

Abstract: 
The employment rate of married women with and without pre-school children varies substantially across countries. To what extent can child-related transfers account for this variation? I develop a life-cycle model in which married couples jointly decide their labor supply, female human capital evolves endogenously, and some couples have access to grandparental childcare. I show that child-related transfers can explain most of the variation in the employment rates of married women, even after taking the labor income tax treatment and cross-country variation in childcare fees into account. 



Note: 
Length: 52
Creation-Date: 2019-08
Revision-Date: 
File-URL: https://www.crctr224.de/research/discussion-papers/archive/dp067
File-Format: application/pdf
Handle: RePEc:bon:boncrc:CRCTR224_2019_067v2