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Blau, David M. & Hagy, Alison P. (1998). The Demand for Quality in Child Care. Journal of Political Economy, 106(1), 104-146.


We estimate a model of demand for quality‚Äźrelated attributes of child care: group size, staff/child ratio, and provider training. The model is estimated jointly with equations for mode, expenditure on and hours of care, and the mother's labor supply. The results show that a lower price of child care in a particular mode leads to substitution toward that mode and an increase in the use of paid child care. A decrease in the price of care causes an increase in hours of care demanded and a decrease in the demand for qualityrelated attributes. Income effects on demand for quality are small.


Reference Type

Journal Article

Year Published


Journal Title

Journal of Political Economy


Blau, David M.
Hagy, Alison P.