Combining administrative data from the US Army, Department of Veterans Affairs, and Social Security Administration, we analyze the effect of the VA's Disability Compensation (DC) program on veterans' labor force participation and earnings. We study the 2001 Agent Orange decision, a unique policy change that expanded DC eligibility for Vietnam veterans who served in theater but did not expand eligibility to other veterans of this era, to assess the causal effects of DC enrollment. We estimate that benefits receipt reduced veterans' labor force participation by 18 percentage points, though measured income net of transfer income rose on average. (JEL H51, I12, I18, J14, J22, J28, J31)
In a flipped classroom, an increasingly popular pedagogical model, students view a video lecture at home and work on exercises with the instructor during class time. Advocates of the flipped classroom claim the practice not only improves student achievement, but also ameliorates the achievement gap. We conduct a randomized controlled trial at West Point and find that the flipped classroom produced short term gains in Math and no effect in Economics. The flipped model broadened the achievement gap: effects are driven by white, male, and higher achieving students. We find no long-term average effects on student learning, but the widened achievement gap persists. Our findings demonstrate feasibility for the flipped classroom to induce short term gains in student learning; however, the exacerbation of the achievement gap, the effect fade-out, and the null effects in Economics suggest that educators should exercise caution when considering the model.
We present the proof-of-concept for minimalist market design (Sönmez, 2023) as an effective methodology to enhance an institution based on the desiderata of stakeholders with minimal interference. Four objectives -respecting merit, increasing retention, aligning talent, and enhancing trust -guided reforms to US Army's centralized branching process of cadets to military specialties since 2006. USMA's mechanism for the Class of 2020 exacerbated challenges implementing these objectives. Formulating the Army's desiderata as rigorous axioms, we analyze their implications. Under our minimalist approach to institution redesign, the Army's objectives uniquely identify a branching mechanism. Our design is now adopted at USMA and ROTC.
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