Numerous governments provide income-contingent childcare subsidies. In this paper, we estimate the dynamic marginal efficiency cost of redistribution (MECR) associated with a large-scale program of this kind in Germany, and compare them with the MECR associated with the benchmark redistributive tool, the income tax. To do so, we integrate methods from public finance theory into a dynamic structural heterogeneous-household model of childcare demand and maternal labor supply. We also incorporate social mobility concerns into the MECR and find the MECR of the childcare subsidies to be significantly lower at the margin, suggesting that childcare subsidies are the more efficient redistributive tool.
Date
20.6.2023
, 12:00 noon to 1:30 pm (CEST)
Speaker
David Koll (joint work with Dominik Sachs, Fabian Stürmer-Heiber, and Hélène Turon).
Venue
The seminar will be a hybrid seminar. People from Nürnberg can attend in room E10 at the IAB building (Regensburger Str. 100).
Remote participation will be possible via Zoom. The login information will be send out a day before the seminar.
Registration
Researchers who would like to participate, please send an email to macrolabor.seminar@gmail.com
Further information
Please find the preliminary schedule here.
We also encourage you to present your own research and to forward this message to other researchers who might be interested in the seminar series.