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Evaluating the Impact of Daycare on Child Development and Parents Welfare

Evaluating the Impact of Daycare on Child Development and Parents Welfare. Ricardo Barros - IPEA Mirela de Carvalho – IETS Samuel Franco – IETS Pedro Olinto – Banco Mundial Andrezza Rosalém - IETS. Rio de Janeiro, December 2009. I. Seven Dilemmas.

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Evaluating the Impact of Daycare on Child Development and Parents Welfare

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  1. Evaluating the Impact of Daycare on Child Development and Parents Welfare Ricardo Barros - IPEA Mirela de Carvalho – IETS Samuel Franco – IETS Pedro Olinto – Banco Mundial Andrezza Rosalém - IETS Rio de Janeiro, December 2009

  2. I. Seven Dilemmas • The importance of care versus the importance of public provided care. • Substitutes versus complements? Day care center versus its alternatives (PIM). • Impact on child development versus the impact on parents welfare? • The need for a minimum level of quality. • The cost-benefit ratio relative to other educational levels. • Availability of resources and the long run impact. • Is there strong complementarities with other social programs?

  3. I. Seven Dilemmas • The importance of care versus the importance of public provided care. • Substitutes versus complements? Day care center versus its alternatives (PIM). • Impact on child development versus the impact on parents welfare? • The need for a minimum level of quality. • The cost-benefit ratio relative to other educational levels. • Availability of resources and the long run impact. • Is there strong complementarities with other social programs?

  4. I. Seven Dilemmas • The importance of care versus the importance of public provided care. • Substitutes versus complements? Day care center versus its alternatives (PIM). • Impact on child development versus the impact on parents welfare? • The need for a minimum level of quality. • The cost-benefit ratio relative to other educational levels. • Availability of resources and the long run impact. • Is there strong complementarities with other social programs?

  5. Four alternative interpretations • Statistically non significant estimates result from the poor quality of the data • Weak statistical results are caused by fragile identification strategy (problems with internal validity) • Small impact results from the low quality of daycare services in the past (problems with external validity) • Daycare really do not have important impacts on child development

  6. I. Seven Dilemmas • The importance of care versus the importance of public provided care. • Substitutes versus complements? Day care center versus its alternatives (PIM). • Impact on child development versus the impact on parents welfare? • The need for a minimum level of quality. • The cost-benefit ratio relative to other educational levels. • Availability of resources and the long run impact. • Is there strong complementarities with other social programs?

  7. Nature of data collection • Evaluation of the economic cost of 100 daycare centers in Rio de Janeiro • Objective evaluation of the quality of these 100 daycare centers (470 items, 15 dimensions, one week of continuous observation) • Beneficiaries subjective perception of the service quality • Evaluation of the development of a sample of 10 children per daycare center (total of 1000 children evaluated) • Collection of information on family socio-economic conditions for each child in the study (household survey)

  8. I. Seven Dilemmas • The importance of care versus the importance of public provided care. • Substitutes versus complements? Day care center versus its alternatives (PIM). • Impact on child development versus the impact on parents welfare? • The need for a minimum level of quality. • The cost-benefit ratio relative to other educational levels. • Availability of resources and the long run impact. • Is there strong complementarities with other social programs?

  9. I. Seven Dilemmas • The importance of care versus the importance of public provided care. • Substitutes versus complements? Day care center versus its alternatives (PIM). • Impact on child development versus the impact on parents welfare? • The need for a minimum level of quality. • The cost-benefit ratio relative to other educational levels. • Availability of resources and the long run impact. • Is there strong complementarities with other social programs?

  10. I. Seven Dilemmas • The importance of care versus the importance of public provided care. • Substitutes versus complements? Day care center versus its alternatives (PIM). • Impact on child development versus the impact on parents welfare? • The need for a minimum level of quality. • The cost-benefit ratio relative to other educational levels. • Availability of resources and the long run impact. • Is there strong complementarities with other social programs?

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