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    Can't Buy Mommy's Love? Universal Childcare and Children's Long-Term Cognitive Development
    (Springer, 2014-10-29) ;
    Nollenberger, Natalia
    ;
    Rodriguez-Planas, Nuria
    What happens to children's long-run cognitive development when introducing universal high-quality childcare for 3-year-olds mainly crowds out family care? To answer this question, we take advantage of a sizeable expansion of publicly subsidized full-time high-quality childcare for 3-year-olds in Spain in the early 1990s. Identification relies on variation in the initial speed of the expansion of childcare slots across states. Using a difference-in-difference approach, we find strong evidence for sizeable improvements in children's reading skills at age 15 (0.15 standard deviation) and weak evidence for a reduction in grade retentions during primary school (2.5 percentage points). The effects are driven by girls and disadvantaged children.
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    Scopus© Citations 111