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Using recent SIPP data, this study estimates two econometric models to study the differences in the effect of child care costs on employment status and differences in the mode of child care used controlling for employment status. For both married and single women, full-time employment is more elastic with respect to changes in the price of child care than part-time employment and employment elasticities are larger for single than married mothers. In the model of child care modal choice, we find that an increased probability of full-time employment is associated with an increase in the use of centre care for both married and single mothers, and that price elasticities of modal choice are larger for single than married mothers.
Connelly et al. (Fri,) studied this question.