Aslaksen, Iulie; Koren, Charlotte - Statistisk Sentralbyrå, Government of Norway - 2000
A recent study of the welfare state in Sweden, Rosen (1995, 1996, 1997), concludes that child care subsidies may lead … extend Rosen's model, we analyze the case of positive externalities associated with child quality. The positive externality … provides a rationale for child care subsidies, as expected, and also influences the optimal income tax rate. …