Abstract
In l991, the Conservative-led coalition government presented its bill which intended "freedom of choice
revolution" in the area of social welfare services and allowed private for-profit companies to enter and provide child care services. The Social Democrats strongly opposed the bill which would make one's economy to determine which service one could receive. But the Social Democrats, when the party came back into power in l994, permitted private companies but under the various conditions and control by municipal governments. This article examines the factors which affected the introduction of the freedom of choice and the Social Democrats' position change to private
companies in child care services, and discusses that it was not the change of their idea but lack of child care services
caused by economic situation, increase in female labor force and baby-boom, which led the Social Democrats to acceptance of private companies.
