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Can Compulsory Military Service Raise Civilian Wages? Evidence from the Peacetime Draft in Portugal

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  • David Card
  • Ana Rute Cardoso

Abstract

We provide new evidence on the long-term impacts of peacetime conscription, using longitudinal data for Portuguese men born in 1967. These men were inducted at age 21, allowing us to use preconscription wages to control for ability differences between conscripts and nonconscripts. We find a significant 4-5 percentage point impact of service on the wages of men with only primary education, coupled with a zero effect for men with higher education. The effect for less-educated men suggests that mandatory service can be a valuable experience for those who might otherwise spend their careers in low-level jobs. (JEL J24, J31, J45)

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Bibliographic Info

Article provided by American Economic Association in its journal American Economic Journal: Applied Economics.

Volume (Year): 4 (2012)
Issue (Month): 4 (October)
Pages: 57-93

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Handle: RePEc:aea:aejapp:v:4:y:2012:i:4:p:57-93

Note: DOI: 10.1257/app.4.4.57
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Citations

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Cited by:
  1. Bingley, Paul & Lundborg, Petter & Vincent Lyk-Jensen, Stéphanie, 2014. "Opportunity Cost and the Incidence of a Draft Lottery," Working Papers 2014:10, Lund University, Department of Economics.
  2. Peter Siminski & Simon Ville & Alexander Paull, 2013. "Does the Military Train Men to be Violent Criminals? New Evidence from Australia’s Conscription Lotteries," Economics Working Papers wp13-01, School of Economics, University of Wollongong, NSW, Australia.
  3. Albæk, Karsten & Leth-Petersen, Søren & le Maire, Daniel & Tranæs, Torben, 2013. "Does Peacetime Military Service Affect Crime?," IZA Discussion Papers 7528, Institute for the Study of Labor (IZA).
  4. Peter Siminski & Simon Ville, 2012. "I Was Only Nineteen, 45 Years Ago: What Can we Learn from Australia’s Conscription Lotteries?," Economics Working Papers wp12-06, School of Economics, University of Wollongong, NSW, Australia.
  5. Bingley, Paul & Lundborg, Petter & Vincent Lyk-Jensen, Stéphanie, 2014. "Opportunity Cost and the Incidence of a Draft Lottery," IZA Discussion Papers 8057, Institute for the Study of Labor (IZA).

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