Conscription and the developing countries

Many countries, mostly ones with developing economies, still have conscription. This study explains why, based on the costs of different recruitment systems. A conscription system can be costly to set up, and misallocates labor compared to all-volunteer recruitment, but entails a smaller wage bill. In a developing country with a highly distorting tax system, the burden of taxes needed to finance the higher wage bill of an all-volunteer military...