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The average childcare cost in Toronto is $500 a week. Abby is a single mother in Toronto, who earns $125 an hour, and receives $800

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The average childcare cost in Toronto is $500 a week. Abby is a single mother in Toronto, who earns $125 an hour, and receives $800 a week in non-labour income. She chooses to work 45 hours a week. Becca is also a single mother in Toronto. If she worked, Becca could earn $\\15 an hour and received $1000 in weekly non-labour income. She chooses not to work. The government of Ontario is currently negotiating with the Federal Government of Canada a daycare program that would reduce the cost of daycare to $10 a day, or $50 a week. Using income-leisure diagrams, use full sentences to explain how this program would influence the labour market decisions of Abby and Becca. + Drag and drop an image or PDF file or click to browse... Q3 (b) (3 points) Are these analytical results consistent with the findings from the Baker, Gruber, Milligan (2008) paper we studied? Explain with reference to the results from the paper

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