Childcare Availability During Nonstandard Hours and Household Choices

Around 28% of workers with young children experience nonstandard work schedules. These schedules often offer wage premiums, but access to high-quality, affordable childcare during nonstandard hours is limited. This paper estimates a structural model of maternal labor supply, childcare choice, and child skill development for these households. The model allows for heterogeneity in wages and in the availability, prices, and quality of childcare across time periods. I find that the wage premium associated with nonstandard schedules ranges from 3.8 to 22.3%. Childcare providers operating during nonstandard hours are, on average, one standard deviation lower in quality. Counterfactual simulations show that improving childcare quality during nonstandard hours through Head Start could significantly benefit lower-SES households.