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There is no free lunch: Unintended effects of the new military retirement system

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  • R. Yilmaz Arguden

Abstract

In June 1986, the new Military Retirement Reform Act was signed into law with the intention of saving $2.9 billion in the 1986 accrual funding of the military retirement budget. This article provides an analysis of the potential effects of the new policy on personnel retention. It concludes that the losses of personnel due to the new retirement system are likely to be much larger than expected, the proportion of higher-quality personnel is likely to be reduced, and policies that can moderate these effects would dilute the intended future cost savings.

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  • R. Yilmaz Arguden, 1987. "There is no free lunch: Unintended effects of the new military retirement system," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 7(3), pages 529-541.
    • Handle: RePEc:wly:jpamgt:v:7:y:1987:i:3:p:529-541
    DOI: 10.2307/3323730
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