Evaluating the labor-market effects of compulsory military service

Arbeitspapier

We identify the causal effect of compulsory military service on conscripts' subsequent labor-market outcomes by exploiting the regression-discontinuity design of the military draft in Germany during the 1950s. Unbiased estimates of the effect of military service on lifetime earnings, wages, and employment are obtained by comparing men born before July 1, 1937 (the White Cohort) who were exempted from compulsory military service to men who were born on or shortly after this threshold date and hence faced a positive probability of being drafted. We find that the putative earnings advantage and wage premium of those who served in the armed forces vanish when selection effects are taken into account.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: IZA Discussion Papers ; No. 4535

Classification and Topics

• Classification: Wirtschaft ; Wage Level and Structure; Wage Differentials
• Subject: Causal effect ; quasi-experimental estimators ; conscription ; Wehrdienst ; Arbeitskräfte ; Lebenseinkommen ; Lohn ; Erwerbstätigkeit ; Deutschland

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Bauer, Thomas K. ; Bender, Stefan ; Paloyo, Alfredo R. ; Schmidt, Christoph M.
• Event: Veröffentlichung
• (who): Institute for the Study of Labor (IZA)
• (where): Bonn
• (when): 2009

Further information

• Handle: http://hdl.handle.net/10419/35864
• Last update: 10.03.2025, 11:47 AM CET