To Draft or not to Draft? Efficiency, Generational Incidence, and Political Economy of Military Conscription
AbstractWe study the efficiency and distributional consequences of establishing and abolishing the draft in a dynamic model with overlapping generations, taking into account endogenous human capital formation as well as government budget constraints. The introduction of the draft initially benefits the older generation while harming the young and all future generations. Its Pareto-improving abolition requires levying age-dependent taxes on the young. These being infeasible, abolition of the draft would harm the old. The intergenerational incidence of the gains and losses from its introduction and abolition helps to explain the political allure of the draft.
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Bibliographic InfoPaper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 1454.
Date of creation: 2005
Date of revision:
draft; conscription; education; intergenerational fairness;
Other versions of this item:
- Poutvaara, Panu & Wagener, Andreas, 2007. "To draft or not to draft? Inefficiency, generational incidence, and political economy of military conscription," European Journal of Political Economy, Elsevier, vol. 23(4), pages 975-987, December.
- Poutvaara, Panu & Wagener, Andreas, 2005. "To Draft or Not to Draft? Efficiency, Generational Incidence, and Political Economy of Military Conscription," IZA Discussion Papers 1559, Institute for the Study of Labor (IZA).
- D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
- H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General
- H57 - Public Economics - - National Government Expenditures and Related Policies - - - Procurement
- I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
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