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Analysis of Impact of the Childcare Subsidy on Child Support Expenses of Family

  • Korean Society and Public Administration
  • Abbr : KSPA
  • 2017, 28(3), pp.175-198
  • Publisher : Seoul Association For Public Administration
  • Research Area : Social Science > Public Administration

이채정 1 Kwon, Huck Ju 2

1국회예산정책처
2서울대학교

Accredited

ABSTRACT

This study analyzes the change in family’s child support expenses with a child under the age of five by comparing the before and after of the expansion of childcare subsidy and figure out reasons of the change of child support expenses in households. To accommodate the study, data collected from the 2011’s 7th and 2015’s 11th wave of Korean Welfare Panel Study were utilized. As a result, the child support expenses of the lower income family(the bottom 20 percent) were higher than other income group before and after the childcare subsidy expansion in 2013. In the case of the higher income family(the top 20 percent), the child support expenses, especially the cost for private childcare not using the day-care centers and kindergartens, which can use the governmental childcare subsidy, was increased after the childcare subsidy expansion. In addition, after the expansion of the childcare subsidy, the angel coefficient of household was inclined statistically significant as the income level of family is increased. It implies that the childcare policy based on the expansion of childcare subsidy cannot lessen the individual households’ burden of child caring of lower income family since the care deficit did not mitigate due to the discord of parents’ working hours and childcare service hours provided by day-care centers and kindergartens. Moreover, the expansion of childcare subsidy triggers the private childcare expenses of higher income family and it might bring the difference of child rearing according to the income level of households. To sum up, the expansion of childcare subsidy might not accomplish the policy goal which was lessening the child caring burden of families with children under aged five. It tends to incur the difference of quality in child rearing among income level because of the different policy impact in association with different income level of families.

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