THE IMPACT OF UNIVERSAL PRESCHOOL POLICY ON WOMEN'S LABOR MARKET OUTCOMES AND ECONOMIC INEQUALITY IN THE UNITED STATES
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Date
2024
Authors
Dougherty, Caitlin
Journal Title
Journal ISSN
Volume Title
Publisher
University of Oregon
Abstract
This study examines the impact of early childhood education and care (ECEC) policies, such as universal preschool, on labor market participation and gender equality in the United States. While there is substantial research on the effects of ECEC in countries with universal welfare systems like Denmark, there is significantly less research exploring these impacts within the U.S. context. This gap is particularly notable regarding how such policies influence labor force metrics, poverty reduction, and economic equality across genders.
The findings reveal that a “Preschool for All” policy leads to a statistically significant increase in labor force participation among women by 1.2 percentage points, suggesting enhanced economic engagement. Wage and salary income also exhibit a positive, though not statistically significant, increase of $847.75 each year for the following five years post implementation. The effect on hourly wages shows a 53 cent increase. While both are suggestive of improvement in women’s labor force participation, neither is statistically significant. Additionally, preschool for all slightly increase in weekly working hours by .11 hours, indicating that some mothers might have transitioned from part-time to full-time, leveraging the availability of preschool to balance work and childcare responsibilities. Importantly, the policy contributes to a statistically significant decrease in the poverty rate by 1.3 percentage points.
ECEC policies not only support women's entry and retention in the workforce but also act as a double reduction anti-poverty strategy, enhancing economic stability and reducing poverty among women.
Description
42 pages
Keywords
Labor Market Outcomes, Universal Preschool Policy, Early Childhood Education and Care (ECEC), Women's Employment, Economic Inequality