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The Causal Effects of World War II Military Service

Author

Listed:
  • Cousley, Alex

    (University of Wollongong)

  • Siminski, Peter

    (University of Technology, Sydney)

  • Ville, Simon

    (University of Wollongong)

Abstract

The effects of military service have been studied for decades, but surprisingly few studies have estimated the effects of World War II (WW2) service, where the focus has been on the impact of this 'total war' on the broader civilian population. Over 90% of Australian males born in the early 1920s served in the military during WW2. Almost none of those born in the late 1920s served. Treating such cohort differences as exogenous, we conduct one of the first econometric studies of WW2 service. We consider major life outcomes including employment, marital status and home ownership, all measured in 1966, while the economy was strong and male employment was very high. We find a significant negative effect on employment, half of which is accompanied by pensioner status. We find positive effects on home ownership and on separation/divorce. A feature of our analysis is a novel visual depiction of the variation which identifies the estimates, drawing on the Frisch-Waugh theorem.

Suggested Citation

  • Cousley, Alex & Siminski, Peter & Ville, Simon, 2016. "The Causal Effects of World War II Military Service," IZA Discussion Papers 9725, Institute of Labor Economics (IZA).
  • Handle: RePEc:iza:izadps:dp9725
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    References listed on IDEAS

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    1. Angrist, Joshua D. & Chen, Stacey H. & Frandsen, Brigham R., 2010. "Did Vietnam veterans get sicker in the 1990s? The complicated effects of military service on self-reported health," Journal of Public Economics, Elsevier, vol. 94(11-12), pages 824-837, December.
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    4. Angrist, Joshua & Krueger, Alan B, 1994. "Why Do World War II Veterans Earn More Than Nonveterans?," Journal of Labor Economics, University of Chicago Press, vol. 12(1), pages 74-97, January.
    5. Angrist, Joshua D, 1990. "Lifetime Earnings and the Vietnam Era Draft Lottery: Evidence from Social Security Administrative Records," American Economic Review, American Economic Association, vol. 80(3), pages 313-336, June.
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    More about this item

    Keywords

    military service; Australia; World War Two; Frisch-Waugh theorem;
    All these keywords.

    JEL classification:

    • H56 - Public Economics - - National Government Expenditures and Related Policies - - - National Security and War
    • N37 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - Africa; Oceania
    • N47 - Economic History - - Government, War, Law, International Relations, and Regulation - - - Africa; Oceania

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