> Armchairs,
> 
> The military's current stop-loss policy prevents certain service members
> from leaving the service at the end of their normal enlistment contract.
> This policy is affecting specific skills and grades deemed critical for the
> war on terrorism.  In econimic terms, what are the similarities and
> dissimilarities between stop-loss and a conventional draft?
> 

If people don't want to be "stop-lossed", won't this make it harder to
to convince them to enlist in the first place -- and won't this
problem be worse for exactly those people likely to be placed in
specific skills which are scarce?

Of course, for those who know in advance they want a long-term
military career, this will not be an issue.  It will be an issue for
those who know at enlistment they want a brief career.  The
"misallocation" will occur for those who decide after enlisting that
they would rather get out -- but that missallocation is there to some
degree in a fixed-length contract also.


--Robert Book    [EMAIL PROTECTED]
  University of Chicago

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