This paper presents the properties of optimal piecewise linear tax systems for two-earner households, based on joint and individual incomes respectively. A key contribution is the analysis of the interaction between second earner wage differences, variation in the price of child care and...

This paper analyses optimal piecewise linear tax systems for two-earner households, based on joint and individual incomes respectively. It models the interaction between wage rates and variation in child care prices and productivities as determinants of across-household heterogeneity in second...

We analyse a model in which families may either be “traditional” single-earner with caring for the child at home or “modern” double-earner households using market child care. Family policies may favour either the one or the other group, like market care subsidies vs. cash for care....

Fertility and female labour force participation are no longer negatively correlated in developed countries. Recently, the role of immigration has been put forward as a driving factor among others. Increased immigration affects supply and prices of household services, which are relevant for...

We analyse a model in which families may either be “traditional” single-earner with caring for the child at home or “modern” double-earner households using market child care. Family policies may favour either the one or the other group, like market care subsidies vs. cash for care....

Grandmothers’ availability for childcare has been shown to increase the labor force participation (LFP) and fertility of daughters. However, grandmothers’ childcare availability depends highly on their LFP. When grandmothers work, intergenerational income transfers to their daughters may...

The share of single mothers is higher in East Germany than in West Germany. Using data from the Socio-Economic Panel (SOEP), we examine two transmission channels leading to single motherhood, namely out-of-partnership births and separations of couples with minor children. Women in East Germany...

We investigate the importance of various mechanisms by which child care policies can affect life-cycle patterns of employment and fertility among women, as well as long-run cognitive outcomes among children. A structural life-cycle model of employment, fertility, and child care use is estimated...

We apply a structural model of mothers' labor supply and child care choices to evaluate the effects of two childcare reforms in Germany that were introduced simultaneously in August 2013. First, a legal claim to subsidized child care became effective for all children aged one year or older....