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Child care subsidy policy : Evaluation and ways to improve

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Child care policy in Korea revolves around financial support for all households with young children. However, the effectiveness of the approach varies among households. For example, high-income, highly educated families are less likely to use the subsidies to place their children in child care centers. In order to enhance the effectiveness of the child care policy and raise the employment of highly educated women, more attention should be placed on improving the quality of child care services rather than on universal financial support.
Ⅰ. Issues
The universal child care program is an ongoing topic of discussion in Korea. In 2012, the Korean government began providing full subsidies for center-based care to all families with children aged 0-2 and 5, regardless of parents’ employment status and income; expanding it to all households with children aged 0-5 in 2013. The introduction of the universal child
* This article summarizes “Women's Time Allocation and Its Implications for Childcare Policy” KDI Policy Study 2014-11, Korea Development Institute, 2014 (in Korean).
KDI FOCUS
2
<Table 1> Policy Changes for the Child Care Subsidy
Children aged 0-2 2003 Children aged 3-4 Children aged 5 Full subsidy to households whose recognized income is equal to or less than 2.15 million won per month Full subsidy to households whose recognized income is equal to or less than 2.23 million won per month Full subsidy to households whose income is and less than 80% of an urban worker’s av


Full Text
Title Child care subsidy policy
Similar Titles
Sub Title

Evaluation and ways to improve

Material Type Articles
Author(English)

Lee, Youngwook

Publisher

[세종]:한국개발연구원

Date 2015-10
Journal Title; Vol./Issue KDI Focus:no. 53
Pages 8
Subject Country South Korea(Asia and Pacific)
Language English
File Type Documents
Original Format pdf
Subject Social Development < Social Welfare
Holding 한국개발연구원; KDI 국제정책대학원

Abstract

Child care policy in Korea revolves around financial support for all households with young children. However, the effectiveness of the approach varies among households. For example, high-income, highly educated families are less likely to use the subsidies to place their children in child care centers. In order to enhance the effectiveness of the child care policy and raise the employment of highly educated women, more attention should be placed on improving the quality of child care services rather than on universal financial support.