TY - JOUR T1 - Who benefits from cash-for-care? The effects of a home care subsidy on maternal employment, childcare choices, and children’s development JF - Journal of Human Resources JO - J Hum Resour DO - 10.3368/jhr.0720-11051R1 SP - 0720-11051R1 AU - Matthias Collischon AU - Daniel Kuehnle AU - Michael Oberfichtner Y1 - 2022/06/10 UR - http://jhr.uwpress.org/content/early/2022/06/01/jhr.0720-11051R1.abstract N2 - We provide comprehensive evidence on Germany’s home care subsidy for one and two year-old children. In West Germany, take-up was 60% and the subsidy reduced mothers’ probability to work within three years after childbirth by 1.4 percentage points and increased exclusive parental care by 6.5 percentage points. The subsidy improved children’s development at age six, with the exception of children who do not speak German at home. In East Germany, 30% of families used the subsidy, neither affecting maternal employment nor exclusive parental care. As an income transfer, the subsidy did not benefit families with the least economic resources most. ER -