Compulsory military service typically drafts young men when they are at the height of their learning ability. Thus, it can be expected to depress the demand for higher education since skill atrophy and the delayed entry into the civilian labor market reduce the returns to human-capital...

We identify the causal effect of compulsory military service on conscripts’ subsequent labor-market outcomes by exploiting the regression-discontinuity design of the military draft in Germany during the 1950s. Unbiased estimates of military service on lifetime earnings, wages, and employment...

Applied econometrics has recently emphasized the identification of causal parameters for policy analysis. This revolution has yet to fully propagate to the field of regional science. We examine the scope for application of the matching approach – part of the modern applied econometrics toolkit...

The reliability of general self-rated health status is examined using the reform of the public health insurance system of Germany in 2004 as a source of exogenous variation. Among others, the reform introduced a co-payment for ambulatory doctor visits and increased the co-payments for...

Within the context of the current political discussion over base realignments and closures (BRACs) in Germany, this study provides policy guidance by examining the economic consequences to the surrounding community. We identify the causal effect of a reduction in military personnel on a number...

Using a unique panel dataset, we estimate the impact of the military base realignments and closures (BRACs) in Germany on the intensity of criminal activity surrounding the base. We use a fixed-effect model to account for time-invariant unobservables in our panel of 298 military bases for the...

This paper estimates the causal impact of compulsory military service on men in Germany using social security and pension administrative data for the cohort of individuals born in the period 1932–1942. Due to the combination of laws restricting conscription only to men born on or after July 1,...