By Beth J. Asch
As a method of facilitating the safeguard drawdown, the dept of protection provided eligible body of workers both the Voluntary Separation Incentive or the designated Separation Bonus (VSI/SSB), a software to urge mid-career team of workers to split from carrier. key questions for policymakers occupied with the good fortune of this application are (1) Did this system set off titanic separations (over and above what would routinely occur)? and (2) Did this system result in marginal performers to go away? during this file we use facts on military enlisted team of workers to reply to those questions. We estimate that the VSI/SSB software elevated separations by means of thirteen percent issues over and above what we'd have anticipated for team of workers who met the eligibility standards throughout the drawdown. We additionally came upon that those that have been low-quality have been likely to settle for the VSI/SSB supply.
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Additional info for An Examination of the Effects of Voluntary Separation Incentives
The estimated effects of the other variables on separation rates accord fairly well with other retention studies, although most previous studies tend to focus on first-term or second-term retention rather than the separation decision of all mid-career personnel, as in this study. , 1991), we found that minorities have lower separation rates. We also found slightly lower separation rates for high-quality personnel, a result that Smith et al. (1992) find for those making a second-term reenlistment choice.
Mech. equip. 135 NOTE: * denotes statistically significant at the 1 percent level. ** denotes statistically significant at the 5 percent level. 019 REFERENCES Angrist, Joshua, “Instrumental Variables Estimation of Average Treatment Effects in Econometrics and Epidemiology,” National Bureau of Economic Research Technical Working Paper No. 115, November 1991. , and John T. : RAND, MR-439-OSD, 1994a. , and John T. : RAND, MR-465-OSD, 1994b. : Office of the Secretary of Defense, Program Analysis and Evaluation, unpublished paper.
RAND, R-3117-MIL, 1985. Warner, John, and Beth Asch, “The Economics of Military Manpower,” in Handbook of Defense Economics, Vol. 1, K. Hartley and T. , Amsterdam: Elsevier, 1995. : Clemson University, unpublished paper.