Family proximity, childcare, and womenâ€TMs labor force attachment

Please cite this article in press as: Compton, J., P (2013), http ://dx.doi.org/10.1016/ j.jue.2013.0 3.0 We show that close geographical proximity to mothers or mothers-inlaw has a substantial positive effect on the labor supply of married women with young children. We argue that the mechanism through which proximity increases labor supply is the availability of childcare. We interpret avai lability broadly enough to include not only regular scheduled childcare during work hours but also an insurance aspect of proximity (e.g., a mother or mother-in-law who can to provide irregular or unanticipated childcare). Using two large datasets, the National Survey of Families and Household s and the public use files of the U.S. Census, we find that the predicted probability of employment and labor force participation is 4–10 percentage points higher for married women with young childre n living in close proximity to their mothers or their mothers-in-law compared with those living further away. 2013 Elsevier Inc. All rights reserved.