Investing in Mothers? The Long-Run Impact of a Universal Child Care

A study examining Quebec's universal child care program finds that subsidized child care has lasting positive effects on mothers' long-term employment and earnings, with income gains eventually doubling the initial participation increases due to wage growth and labor market experience. The program generates significant fiscal returns, with tax revenues and reduced social benefits potentially recouping 75-117 percent of the program's upfront costs over time. These findings suggest that early investments in child care create multiplier effects throughout women's careers through occupational advancement and sustained workforce engagement.