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Journal of Labor Economics Vol. 44 No. 1 2026

The Multigenerational Impact of Children and Childcare Policies

Sencer Karademir1; Jean-William Laliberté1; Stefan Staubli2,1

1 University of Calgary · 2 National Bureau of Economic Research

Abstract

This paper examines the multigenerational impact of children and whether the public provision of formal childcare lessens the earnings and employment impacts of children. We find that the arrival of a firstborn reduces employment and earnings of mothers and employment of grandmothers. Studying a universal childcare program in Quebec, we find that formal childcare increases the employment rates of mothers as well as that of grandmothers to a lesser extent. Examining heterogeneity of the program’s impact across census divisions, we find a negative correlation between the positive effects on mothers’ employment and the prepolicy supply of informal childcare by grandmothers.

DOI
10.1086/732358
Volume
44
Issue
1
Pages
189-227
Language
en
Sources
openalex crossref

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