The flood of veterans enrolling in college at the end of World War II contributed to widespread rhetoric that the G.I. Bill brought about the "democratization" of American higher education. Whether military service, combined with educational benefits, led World War II veterans to increase their investments in college has received little research attention. Our estimation strategy focuses on between-cohort differences in military service, and we use census data to compare the collegiate attainment of veterans and nonveterans. The net effect of military service and G.I. benefits was substantial gains in the collegiate attainment of World War II veterans.

Weak local labor market conditions may change the trajectories of young adults who expected to find work. Well-documented responses include increasing educational investments, moving to more prosperous labor markets, or reducing labor force attachment. Military enlistment is a channel of potential adjustment that has received less study. Using data on Army recruits, we demonstrate a significant local response in enlistment to mass layoffs, characterized by increased labor supply to the military rather than increased local military recruiting. Our work documents the significance of military employment as an important arm of adjustment to local labor market shocks.