With data from the Survey of Income Program Participation, a three-equation, reduced-form econometric model is used to generate estimates revealing that the cost of market child care decreases the labor force participation of married women. High wages increase likelihood of working and use of paid child care. (SK)

Data from 971 mothers suggested that (1) price is critical in child care choice; (2) parents do not consistently select high quality care; and (3) mothers with higher wages and families with higher incomes prefer center care. Vouchers, reduced fees, or tax credits consistently increase use of day care centers. (SK)