18 November, 2013

Why Is Childcare Getting So Expensive? - Jordan Weissmann - The Atlantic

Why Is Childcare Getting So Expensive? - Jordan Weissmann - The Atlantic: Child care is a carefully regulated industry. States lay down rules about how many children each employee is allowed to watch over, the square footage centers need per child, and other minute details. And the stricter the regs, the higher the costs. If a center is required by law to have 25 square feet of space for every kid in a program, it can't ever downsize its building when rents rise. If it has to hire a care giver for every two children, it can't really achieve any economies of scale on labor to save money when other expenses go up. A comparative case in point: in Massachusetts, where child care centers must hire one teacher for every three infants, the price of care averaged more than $16,000 per year. In Mississippi, where centers must hire one teacher for every five infants, the price of care averaged less than $5,000.