RT Journal Article SR Electronic T1 Parental Leave, (In)formal Childcare, and Long-Term Child Outcomes JF Journal of Human Resources JO J Hum Resour FD University of Wisconsin Press SP 1826 OP 1884 DO 10.3368/jhr.58.2.0619-10257R1 VO 57 IS 6 A1 Danzer, Natalia A1 Halla, Martin A1 Schneeweis, Nicole A1 Zweimüller, Martina YR 2022 UL http://jhr.uwpress.org/content/57/6/1826.abstract AB We evaluate the effect of an Austrian parental leave extension from the child’s first to their second birthday on long-term child outcomes. Exploiting a sharp birthday cutoff-based discontinuity in the eligibility for extended leave, we find that longer parental leave improves on average child health outcomes, but has no effect on the child’s labor market outcomes. When accounting for the counterfactual mode of care, we find significant gains in all outcomes for children for whom the reform most likely induced a replacement of informal childcare with maternal care. This highlights the importance of the counterfactual scenario in such evaluations.