The effects of migration and training on post-service earnings of All-Volunteer Force veterans

• Main Author: Anderson, Kenneth J.
• Other Authors: Mehay, S.L.
• Published: Monterey, California: Naval Postgraduate School 2013
• Online Access: http://hdl.handle.net/10945/27710

Approved for public release; distribution is unlimited. === This thesis investigated the effects of migration on the post-service earnings of 21-to-27 year old veterans from the All-Volunteer Force Era. The National Longitudinal Survey of Labor Market Experience, Youth Cohort, years 1979 to 1984, was used as the source of data. The effects of migration by veterans and civilians between states and counties were studied using human capital theory. Additionally, this thesis investigated the effects of different branches of service and military training (both formal and on-the-job training) on post-service civilian earnings. When military experience was characterized with a single dummy variable, veterans incurred approximately a five percent earnings penalty for their military service. However, migration between states by veterans was found to increase post-service earnings by nearly ten percent. When the veterans' military experience was characterized by branch of service and the amount of formal and on-the-job training no penalty was associated with military service. Veterans who served in the Air Force received a 1.0 to 1.2 percent earnings premium for each week of formal training they received.