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Who Benefited from World War II Service and the GI Bill? New Evidence on Heterogeneous Effects for US Veterans

Author

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  • William J. Collins
  • Ariell Zimran

Abstract

We study the impacts of WWII service and access to GI Bill benefits on the educational and labor market outcomes of individuals of various ethnic and racial groups. We address selection into military service directly by linking veterans and nonveterans from 1950’s census records to the complete-count 1940 census. We find that veterans were positively selected on the basis of education, and neutrally or negatively selected on the basis of their own or their fathers’ labor market characteristics. We show that selection can be dramatically reduced by using 1940 controls. Controlling for these characteristics, we find modest positive impacts in 1950 of WWII service and the GI Bill on educational attainment of those with the least pre-war education, and on the school attendance of those with the most pre-war education, with no effect evident for college completion. These effects are relatively large for black men. We find mixed effects on labor market outcomes: young veterans enjoyed slight gains in income and occupational status; older veterans did not. We do not find systematic racial or ethnic differences in labor market impacts. These findings are important given the continued salience of the GI Bill and its potentially disparate outcomes in political discourse.

Suggested Citation

  • William J. Collins & Ariell Zimran, 2024. "Who Benefited from World War II Service and the GI Bill? New Evidence on Heterogeneous Effects for US Veterans," NBER Working Papers 32774, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:32774
    Note: DAE ED LS PE
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    More about this item

    JEL classification:

    • H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
    • I24 - Health, Education, and Welfare - - Education - - - Education and Inequality
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • N32 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - U.S.; Canada: 1913-

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