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August 1995

Boom in day care industry the result of many social changes

William Goodman

The number of employees in the day care industry has increased at a much faster rate than working mothers; five major factors are responsible. The increasing population of children; the dramatically climbing percentage of job holders among mothers of young children and among other women; Federal, State, and local government spending on child care; increased Federal tax breaks for families of children; and many private initiatives to provide needed day care. This article examines these factors in detail, and predicts that the industry is unlikely to sustain the rapid growth it has experienced since 1972.

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