The demand for nonrelative child care among families with infants and toddlers: A double-hurdle approach

Despite the increasing prevalence of nonparental child care, many parents in the United States care exclusively for their young children, even when both parents work. We examine reasons for non-consumption of child care by estimating double-hurdle, tobit and dominance models of the demand for nonrelative child care. Our results indicate that parents' decision whether to use any nonrelative child care is guided by different considerations than the decision of how much care to use. Furthermore, our findings are consistent with the hypothesis that some parents are not interested in nonrelative care, regardless of its price or nonmaternal income.