Counter to Freakononics, my friend’s daycare in SF right now charges parents $2/minute for being late. So it seems to work for them. (Or it works because the cost is relatively high?)
Any reason to think their baseline is making money? The arithmetic of daycare - market-minimum hourly pay for the workers, vs. legal minimum per-child staffing levels, vs. tight parental budgets - is damned ruthless.
