Steep government regulation of child care programs limits the supply of daycare providers by raising costs and barriers to entry. Occupational licensing and expanded degree requirements for daycare workers create higher costs. Between 2005 and 2017, the number of small, in-home family child care centers dropped by 48 percent, with providers citing increased regulations as a reason. [[Coronavirus lockdown]]s only made matters worse. Many small daycare providers shut down entirely, contributing to supply shortages and rising costs. | Steep government regulation of child care programs limits the supply of daycare providers by raising costs and barriers to entry. Occupational licensing and expanded degree requirements for daycare workers create higher costs. Between 2005 and 2017, the number of small, in-home family child care centers dropped by 48 percent, with providers citing increased regulations as a reason. [[Coronavirus lockdown]]s only made matters worse. Many small daycare providers shut down entirely, contributing to supply shortages and rising costs. |