• Journal of Labour Economics
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• v.43 no.1
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• pp.59-91
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• 2020

The recent reform of child care policy is to give priority to double-income households in the use of childcare facilities. This study analyzed the effect of the use of childcare facilities on the employment of married women under the on-going reform. Using the data from the 19th and 21st wave of the Korean Labor and Income Study, the marginal treatment effect (MTE) analysis method was used to eliminate the selection bias in which the sub-population targeted for policy is determined according to the priority when childcare demand exceeds supply. The study finds that the employment effect of married women who use childcare facilities does not differ statistically from the employment effect of married women who do not use childcare facilities.