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Elementary,Middle School,High School,College,University,PHD
| Teaching Since: | May 2017 |
| Last Sign in: | 409 Weeks Ago, 1 Day Ago |
| Questions Answered: | 66690 |
| Tutorials Posted: | 66688 |
MCS,PHD
Argosy University/ Phoniex University/
Nov-2005 - Oct-2011
Professor
Phoniex University
Oct-2001 - Nov-2016
Assume that a state government currently provides no child-care subsidies to working single parents, but it now wants to adopt a plan that will encourage labor force participation among single parents. Suppose child-care costs are hourly and that the government adopts a child-care subsidy of $4 per hour if the single parent works 4 or more hours per day. Draw the current daily budget constraint (assume a wage that is net of the hourly child-care costs) for a single mother and then draw in the new constraint. Discuss the likely effects on labor force participation and hours of work.
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