Well, yeah. As an immigrant couple living far away from either of our families, I have no idea how you'd raise children otherwise without spending literally all of your money on daycare/nannies. Everyone else I know has the incredible luxury of being able to just call over their parents/grandparents/uncles/cousins to come over and help with kids(or leave the kids to them for a little while at least), but if you moved abroad, then raising kids without the support network of your family is incredibly difficult. Basically either one of you has to stop working, or you can both work but you need to basically arrange for your entire salary to be transferred directly to the account of the nearest daycare - and that also doesn't strike me as the right way to raise children.

Like, I wouldn't do that personally, but as an immigrant I totally get why people would send their kids to live with their grandparents until they are of school age.

Daycare doesn't have to be extremely expensive.

Where I live the cost is dependent on the parents' income, and where I come from it's a fixed cost that is low enough for most people to be able to afford it. Even if they lived in my country, I don't think I would call my parents to take care of my children very often.

Where i live day cares are free - only Problem is that there zero spots available. Maybe try again in 2022.

Yes, artificially fixing prices below the market clearing price inevitably leads to shortages. If the government wants to ease the financial burden on parents then a better solution would be to just give them money and let them pay for day care on the open market.