Filling the Gaps: Childcare Laws for Women's Economic Empowerment

This paper investigates the effects of legislation governing the availability, affordability, or quality of center-based childcare services on women's labor market outcomes around the world. Using a difference-in-difference design, we find that childcare laws increase female labor force participation (FLFP) by up to 2.2 percent. Affordability has the largest positive impact, followed by availability and quality. Results indicate gradual improvements in FLFP post-law enactment, highlighting the role of legislation in addressing gendered caregiving burdens and enhancing women's economic opportunities. These findings underscore the importance of how childcare laws offer instrumental returns in other dimensions of gender equality and economic development.