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Employment Effects of Army Service and Veterans' Compensation: Evidence from the Australian Vietnam-Era Conscription Lotteries

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  • Peter Siminski

    (University of Wollongong)

Abstract

Exploiting Australia's National Service lotteries of 1965 to 1972, I estimate the effect of army service on employment outcomes. Population data from military personnel records, tax returns, veterans' compensation records, and the Census facilitate a rich and precise analysis, identified by 53,000 complying conscripts. The estimated employment effect is −12 percentage points (95% CI: −13, −11) overall, −37 for those who served in Vietnam and 0 for those who served only in Australia. It emerged in the 1990s, mirrored by veterans' disability pension effects. These results contrast with those for the United States, possibly reflecting employment disincentives associated with Australia's veterans' compensation system. © 2013 The President and Fellows of Harvard College and the Massachusetts Institute of Technology.

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Bibliographic Info

Article provided by MIT Press in its journal Review of Economics and Statistics.

Volume (Year): 95 (2013)
Issue (Month): 1 (March)
Pages: 87-97

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Handle: RePEc:tpr:restat:v:95:y:2013:i:1:p:87-97

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Keywords: Vietnam veterans; employment; natural experiment; Australia; conscription;

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References

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  1. Keane, Michael P., 2010. "Structural vs. atheoretic approaches to econometrics," Journal of Econometrics, Elsevier, vol. 156(1), pages 3-20, May.
  2. Andrew Leigh, 2005. "Deriving Long-Run Inequality Series from Tax Data," The Economic Record, The Economic Society of Australia, vol. 81(s1), pages S58-S70, 08.
  3. Dora L. Costa & Matthew E. Kahn, 2008. "Health, Stress, and Social Networks: Evidence from Union Army Veterans," NBER Working Papers 14053, National Bureau of Economic Research, Inc.
  4. Peter Siminski & Simon Ville, 2011. "Long-Run Mortality Effects of Vietnam-Era Army Service: Evidence from Australia's Conscription Lotteries," American Economic Review, American Economic Association, vol. 101(3), pages 345-49, May.
  5. Kelly Bedard & Olivier Desch�nes, 2006. "The Long-Term Impact of Military Service on Health: Evidence from World War II and Korean War Veterans," American Economic Review, American Economic Association, vol. 96(1), pages 176-194, March.
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Cited by:
  1. Simon Ville & Peter Siminski, 2011. "A Fair and Equitable Method of Recruitment? Conscription by Ballot into the Australian Army during the Vietnam War," Economics Working Papers wp11-16, School of Economics, University of Wollongong, NSW, Australia.
  2. Siminski, Peter & Ville, Simon, 2010. "Long-Run Mortality Effects of Vietnam-Era Army Service: Evidence from Australia’s Conscription Lotteries," Economics Working Papers wp10-06, School of Economics, University of Wollongong, NSW, Australia.
  3. 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.

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