Determinants of Navy Reenlistment and Extension Rates

Abstract

This paper analyzes the effects of regular military compensation and reenlistment bonuses on the probabilities of reenlistment and extension among first-term and second-term Navy enlisted personnel. We find that the pay elasticities vary substantially across occupational categories. For example, the elasticity of the total probability of staying with respect to regular military compensation ranges between 1.12 and 2.72 for first-term personnel and between 0.94 and 3.78 for second-term personnel. We recommend adopting occupation-specific pay elasticities in forecasting since the all-Navy pay elasticity will yield misleading results.

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Document Details

Document Type
Technical Report
Publication Date
Dec 01, 1982
Accession Number
ADA132718

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  • John T. Warner
  • Matthew S Goldberg

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  • Center for Naval Analyses

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