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Information Asymmetries between Parents and Educators in German Childcare Institutions

Author

Listed:
  • Georg F. Camehl
  • Pia S. Schober
  • C. Katharina Spieß
Abstract
Economic theory predicts market failure in the market for early childhood education and care (ECEC) due to information asymmetries. We empirically investigate information asymmetries between parents and ECEC professionals in Germany, making use of a unique extension of the German Socio-Economic Panel Study (SOEP). It allows us to compare quality perceptions by parents and pedagogic staff of 734 ECEC institutions which were attended by children in SOEP households. Parents and staff were asked to rate the same quality measures. We detect considerable information asymmetries between these groups which differ across quality measures but little by parental socio-economic background or center characteristics. Our findings imply that information is not readily available to parents, an issue that should be addressed by policy-makers.

Suggested Citation

  • Georg F. Camehl & Pia S. Schober & C. Katharina Spieß, 2017. "Information Asymmetries between Parents and Educators in German Childcare Institutions," SOEPpapers on Multidisciplinary Panel Data Research 939, DIW Berlin, The German Socio-Economic Panel (SOEP).
    • Handle: RePEc:diw:diwsop:diw_sp939
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    References listed on IDEAS

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    1. Georg F. Camehl & Juliane F. Stahl & Pia S. Schober & C. Katharina Spieß, 2015. "Does Better, Cheaper Day Care Make for More Satisfied Parents?," DIW Economic Bulletin, DIW Berlin, German Institute for Economic Research, vol. 5(45/46), pages 604-611.
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    13. Katharina C. Spiess & Eva M. Berger & Olaf Groh-Samberg, 2008. "Overcoming Disparities and Expanding Access to Early Childhood Services in Germany: Policy consideration and funding options," Papers inwopa08/52, Innocenti Working Papers.
    14. Xiao, Mo, 2010. "Is quality accreditation effective? Evidence from the childcare market," International Journal of Industrial Organization, Elsevier, vol. 28(6), pages 708-721, November.
    15. M. Caridad Araujo & Pedro Carneiro & Yyannú Cruz-Aguayo & Norbert Schady, 2016. "Teacher Quality and Learning Outcomes in Kindergarten," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 131(3), pages 1415-1453.
    16. Georg F. Camehl & Juliane F. Stahl & Pia S. Schober & C. Katharina Spieß, 2015. "Höhere Qualität und geringere Kosten von Kindertageseinrichtungen – zufriedenere Eltern?," DIW Wochenbericht, DIW Berlin, German Institute for Economic Research, vol. 82(46), pages 1105-1113.
    17. Naci Mocan, 2007. "Can consumers detect lemons? An empirical analysis of information asymmetry in the market for child care," Journal of Population Economics, Springer;European Society for Population Economics, vol. 20(4), pages 743-780, October.
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    Cited by:

    1. Ludovica Gambaro & Guido Neidhöfer & C. Katharina Spieß, 2019. "The Effect of Early Childhood Education and Care Services on the Social Integration of Refugee Families," Discussion Papers of DIW Berlin 1828, DIW Berlin, German Institute for Economic Research.
    2. Spieß C. Katharina & Schober Pia S. & Stahl Juliane F., 2020. "Early Childhood Education and Care Quality in the Socio-Economic Panel (SOEP) – the K2ID-SOEP Study," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 240(1), pages 111-120, February.
    3. Huebener, Mathias & Pape, Astrid & Spiess, C. Katharina, 2020. "Parental labour supply responses to the abolition of day care fees," Journal of Economic Behavior & Organization, Elsevier, vol. 180(C), pages 510-543.
    4. Hermes, Henning & Lergetporer, Philipp & Peter, Frauke & Wiederhold, Simon, 2021. "Behavioral Barriers and the Socioeconomic Gap in Child Care Enrollment," Discussion Paper Series in Economics 16/2021, Norwegian School of Economics, Department of Economics.
    5. Spieß C. Katharina & Schober Pia S. & Stahl Juliane F., 2020. "Early Childhood Education and Care Quality in the Socio-Economic Panel (SOEP) – the KID-SOEP Study," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 240(1), pages 111-120, January.
    6. Henning Hermes & Philipp Lergetporer & Frauke Peter & Simon Wiederhold, 2021. "Application Barriers and the Socioeconomic Gap in Child Care Enrollment," CESifo Working Paper Series 9282, CESifo.
    7. Kuger, Susanne & Becker, Birgit & Spieß, C. Katharina, 2020. "Pädagogische Konzeptionen von Kindertageseinrichtungen – Deskription eines pädagogischen Instruments," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 23(3), pages 509-537.
    8. Gambaro, Ludovica & Neidhöfer, Guido & Spiess, C. Katharina, 2021. "The effect of early childhood education and care services on the integration of refugee families," Labour Economics, Elsevier, vol. 72(C).

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    More about this item

    Keywords

    Child care; quality; information asymmetries; socio-economic differences; Germany;
    All these keywords.

    JEL classification:

    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • I21 - Health, Education, and Welfare - - Education - - - Analysis of Education

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