Military Conscription: An Economic Analysis of the Labour Component in the Armed Forces

208 Pages·1999·6.63 MB·English

by  Dr. Simon Duindam (auth.)

Contributions to Economics
Simon Duindam
Military
Conscription
An Economic Analysis of the Labour
Component in the Armed Forces
Military Conscription
Contributions to Economics
ChristophM.Schneider UlrichWoitek
Research and Development Business Cycles
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continuedonpage203
Simon Duindam
Military
Conscription
An Economic Analysis of the Labour
Component in the Armed Forces
With 21 Figures
and 5 Tables
Springer-Verlag Berlin Heidelberg GmbH
Series Editors
Wemer A. Müller
Martina Bihn
Author
Dr. Simon Duindam
Open University of the Netherlands
Valkenburgerweg 177
NL-6419 AT Reerlen, The Netherlands
ISBN 978-3-7908-1203-9 ISBN 978-3-642-50005-3 (eBook)
DOI 10.1007/ 978-3-642-50005-3
Cataloging-in-Publication Data applied for
Die Deutsche Bibliothek - CIP-Einheitsaufnahme
Duindam, Simon: Military conscription: an economic analysis of the lahour compo
nent in the armed forces; with 5 tables I Simon Duindam. - Heidelberg: Physica
Ver\., 1999
(Contributions to economics)
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Table ofContents
1. ECONOMICSAND CONSCRIPTION 1
1.1. Conscriptionand taxation 3
1.2. The visionon society 4
1.3. Welfareeconomicsand the welfare ofconscripts 5
1.4. Conscriptionandscarcity 11
1.5. The structureofthisbookand the researchquestions 14
2. THEPUBLIC GOOD "DEFENSE" 17
2.1. Defense and economictheory 17
2.2. The monopolyofviolenceofthe government 20
2.3. The organizationofthe armedforces inthe Netherlands 22
2.4. Defense,conscriptionand the role ofbureaucrats 25
2.5. Conscription,voluntaryserviceand therole of
publicchoiceaboutthe size ofthepublic gooddefense 29
2.5.1. The model 30
2.5.2. The introductionofconscription 32
2.6. Summary 33
3. THEHISTORYAND EXISTENCE OF
CONSCRIPTIONIN THE NETHERLANDS 35
3.1. The originofmilitaryconscriptionin theNetherlands 35
3.2. Replacement 36
3.3. The periodafter 1870 41
3.4. The existenceofconscriptionin ademocratic environment 42
3.4.1. The model 43
3.4.2. Variations onthe model 44
3.5. Summary 46
4. THE CONSCRIPTIONTAX 47
4.1. The size ofthe conscriptiontax 47
4.2. The interruptedcareer 53
4.3. The distributionofthe conscriptiontax 55
4.4. The perceptioncosts ofthe conscriptiontax 58
4.5. Final remarks 59
Appendix4.1. 60
VI
5. CONSCRIPTIONAND THE ALLOCATIONOF
PRODUCTIONFACTORS 61
5.l. Theory 61
5.2. Boredom 63
5.3. Capital-laboursubstitution 65
5.4. Militarypersonneland civilians 67
5.5 The substitutionbetween inexperiencedand experienced
personnel 71
5.6. The need forpersonnelinanall-volunteerforce 72
5.7. The budgetaryconsequencesofthe transitionofa
conscription-forcetoanall-volunteerforce and the
"excessburden" ofaconscriptionforce 75
5.8. Conclusion 76
Appendix 5.l. 77
6. THE DEMAND FORAND THE SUPPLYOF
VOLUNTEERS 79
6.l. The supply ofpotentialvolunteers 80
6.2. The Netherlandsand the executionofUN-tasks:
areal suitfor thearmed forces 88
6.2.l. The organisationalstructure 90
6.2.2. The tasks 91
6.2.3. Training 92
6.2.4. Recruitmentandmatching 93
6.2.5. Conclusions 95
6.3. The recruitmentand selectionprocess 95
6.3.l. The "Project 100.000"and the"ASVAB-misnorming" 99
6.3.2. The woman inthe armed forces 105
6.4. The demand forprofessionalmilitary 112
6.4.1. The mix ofexperiencedand inexperiencedmilitary 114
6.4.2. Conscriptionand the death 116
6.4.3. Ranks and salaries 120
6.5. Final remarks 127
7. THE INTERACTIONBETWEEN SOCIETY
AND THE ARMEDFORCES 129
7.l. The officers corps 131
7.2. The privatizationofdefense 135
7.2.l. Privatization:theory 137
7.2.2. The privatizationofthe armed forces 141
VII
7.3. Conclusionsand final remarks 152
8. THE TRANSFORMATION OF A CONSCRIPTION
FORCEINTO AN ALL-VOLUNTEERFORCE 155
8.1. The choicebetweenaconscriptionforce and
an all-volunteerforce 157
8.2. The transitionofaconscriptionarmy into an
all-volunteerforce 160
8.3. The transformationofcentralizedarmed forces into
decentralizedarmed forces 165
8.4. The mobilizingforces 167
8.5. The culture inthearmed forces 169
8.6. Final remarks 174
9. SOCIAL CONSCRIPTION 177
9.1. Introduction 177
9.2. Social conscription:the theory 178
9.3. Social conscription:practical implications 186
9.4. Conclusions 189
10. SUMMARY 191
REFERENCES 197
CHAPTER 1
Economics and Conscription
"Economicsisthesciencewhichstudieshumanbehaviorasarelationshipbetweenends
andscarcemeanswhichhavealternativeuses".
Lionel Robbins, An Essay on the Nature and Significance of Economic
Science,London 1962,pp. 16.
Military conscription is a public phenomenon, which has been part of Dutch
society since the Napoleonic age. Conscription is a complicated phenomenon. A
number ofcommittees studied the issue ofconscription in the Netherlands, but
could not come to the conclusion to abandon conscription. Contrary to many
other social issues, conscription has not been at the centre ofmuch attention. It
was not until the last decades ofthis century that scientists showed interested in
the economics ofthe conscriptedsoldier.
Practically none of the economists in the Netherlands involved themselves
withconscriptionI, althoughsome ofthem referred to conscriptionas an example
of a tax-in-kind, like Rudolf Goldscheid did in his "Staatssozialismus oder
Staatskapitalismus'",
Nevertheless, military conscription is a very relevant economic subject,
something Adam Smith already made clear in "The Wealth ofNations".' In this
economic standard, Smith explains that the costsofwarfare differ,depending on
the society and the times. When societies consisted mainly ofhunters, an army
cost almost nothing, because the nature ofthe activities ofthe hunters did not
change when they were going to war. This would also be true for a society of
shepherds. Ifshepherds were going to war, the whole population accompanied
them, and were not an extra burden for their leaders. After the shepherds, the
I Inthecourseofmyliteratureresearchfor thisbookIcouldonlyfind2articlesabout
conscriptionbyDutchauthors:H.Volten,"Dienstplicht,legervormingendeNederlandse
economie, ESB,nr.2577,25-01-1967enC.B.A.Spil, "Eeneconomischeverklaringvan
de dienstplicht", ESB, nr. 2553, 10-08-1966. Both articles are cited by P.G.A. van
Bergeijk, Economie van de Oorlog, Rotterdam, 1986. An example of a reference to
conscriptionasatax-in-kindcanbefoundin:L.G.M.Stevens,ElementairBelastingrecht,
Deventer,1989,pp.14.
2 R. Goldscheid, Staatssozialismus oder Staatskapitalismus: ein finanzsociologischer
BeitragzurLosungdesStaatsschulden-Problerns,Wien,1917,chapterI.
3AdamSmith,TheWealthofNations,NewYork,1937,BookV,chapterI,pp.653-669.
2
farmers appeared. Farmers with a little farm could easily be transformed into
soldiers. Although a farmer had to be equipped with protection and armory, the
costs for the farmers' community were not that high, ifthe war started after the
sowing period and was ended before harvesting.Nature could do its work here,
and the harvest could succeed without the help ofthe farmer, so that the farmer
had his hands free to go to war. This is different for a craftsman, like a black
smithor acarpenter. When they leave their work place, the source ofincomewill
dry up.Naturedoes not give them any slack. The craftsmanhas to do itall on his
own.
Over the ages warfare has becomemuchmore complicated.In the beginning
it was nothing more than asimple fight,in later times, awar existed ofdifferent
campaigns, that lasted for almost the whole year. It therefore became necessary
that the community should support the people who were fighting the wars for
them, otherwisethe loss ofincome wouldbe tohighfor the soldiers.
The complexity ofwarfare has her origin in technological progress. Warfare
is directed towards the production of combat power. Combat power is a
combinedresult ofboth capital and labour, whereby the capital componentboth
represents physical and human capital. If the technological process advances,
different forms ofeffective combatpower can be distinguished. But this is only
possible ifman becomes familiar with these complicated ways ofcombatpower
througheducation.The state oftechnologydetermines whatkind ofperfectionis
possible in awar. However,to achieve this kind ofperfection it isnecessary that
warfare is the only and principal occupation ofa specific group ofthe society,
becausehere too the divisionoflabouristhe best methodtoimprovethe results.
With the progressofsociety, man has, inaway, turnedhisbackto warfare. In
such a society there are two methods to provide for the protection of the
community, when this is necessary. In "The Wealth ofNations" these methods
are describedasfollows:
"There areonlytwo methods ofproviding fordefence. It may either, first, bymeans of a
veryrigorous police,andinspiteofthewhole bentofthe interest,geniusand inclinations
ofthe people,enforce the practice of military exercises,and oblige either all the citizens
ofthe military age, or a certain number of them, tojoin in some measure the trade ofa
soldiertowhatever othertradeorprofession theymayhappen tocarryon.
Orsecondly, by maintaining and employing acertain numbers ofcitizens inthe constant
practice of military exercises, it may render the trade of a soldier a particular trade,
separate anddistinctfromallothers.
If the state has recourse to the first ofthose two expedients, its military force is said to
consist inamilitia;iftothesecond,itissaidtoconsist inastanding army.The practice of
military exercises is the sole or principal occupation ofthe soldiers ofa standing army,
andthemaintenance orpaywhichthestateaffordsthem istheprincipal andordinary fund
oftheirsubsistence.Thepracticeofmilitaryexercises isonlytheoccasionaloccupationof
the soldiers of a militia, and they derive the principal and ordinary fund of their
subsistence from some other occupation.Inamilitia,the character ofthe labourer, artifi
cer, or tradesman, predominates over that ofthe soldier: in a standing army, that of the