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Subsidizing something tends to increase the utilization of it, so more kids will be in childcare if you subsidize childcare.

Intuitively the extremely poor will benefit (the kid would have been neglected or malnourished &c. without subsidized child care) at the expense of the slightly less poor (the kid would have had a stay-at-home parent without subsidized child care).

Policy is full of tradeoffs (and politics is full of lying about the tradeoffs to get support for a particular policy).



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