The Impact of World War II Army Service on Income and Mobility in the 1960s by Ethnoracial Group

We analyze the impact of World War II service on income and mobility among male Army and Army Airforce veterans from various racial and ethnic groups, using linked 1940 Census, WWII enlistment, and 1969 administrative tax return data. The dataset includes non-Hispanic White, Black, Hispanic, Asian, and Native American men, providing insight into underexplored groups. Ordinary Least Squares estimates indicate that, compared to non-Army men within their groups, Army veterans earned higher incomes and were less likely to migrate across counties between 1940 and 1969, particularly among non-Hispanic Whites, Blacks, and Hispanics. To address potential selection bias, we applied a fuzzy regression discontinuity design, comparing men just eligible for service to those slightly too young. These estimates revealed that, in 1969, Army veterans generally had lower adjusted gross incomes than non-Army counterparts among non-Hispanic Whites, Blacks, and Asians, while Hispanic and Native American veterans earned slightly more. Income effects varied by type of income. Veterans also showed lower rates of county migration, particularly among non-Hispanic Whites, Asians, and Native Americans. Migration differences were minor for Blacks and Hispanics. These findings highlight nuanced outcomes of WWII service across diverse racial and ethnic groups.