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The Effect of Military Base Closures on Young Adults

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  • David, Sandberg

    (Department of Economics, Lund University)

Abstract

This study examines the response among young adults to the closure of a large local employer. By using military base closures in Sweden, I find that men experience lower earnings and enroll in tertiary education. This is driven by low-ability men who choose short-term enrollment at nearby colleges and universities. For women, the closures have a positive impact after some years, with increases in both earnings and employment rates, suggesting that closing down a male-dominated employer can benefit the female labor supply.

Suggested Citation

  • David, Sandberg, 2024. "The Effect of Military Base Closures on Young Adults," Working Papers 2024:9, Lund University, Department of Economics.
    • Handle: RePEc:hhs:lunewp:2024_009
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    File URL: https://lucris.lub.lu.se/ws/portalfiles/portal/197973899/WP24_9
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    References listed on IDEAS

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    More about this item

    Keywords

    local economic downturn; plant closure; defense cutback; tertiary education; labor market entrants;
    All these keywords.

    JEL classification:

    • H56 - Public Economics - - National Government Expenditures and Related Policies - - - National Security and War
    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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