PT - JOURNAL ARTICLE AU - Maurin, Eric AU - Xenogiani, Theodora TI - Demand for Education and Labor Market Outcomes AID - 10.3368/jhr.XLII.4.795 DP - 2007 Oct 02 TA - Journal of Human Resources PG - 795--819 VI - XLII IP - 4 4099 - http://jhr.uwpress.org/content/XLII/4/795.short 4100 - http://jhr.uwpress.org/content/XLII/4/795.full SO - J Hum Resour2007 Oct 02; XLII AB - Before 1997, education was a way for young French men to avoid military service in the army. After the abolition of compulsory conscription in 1997, this incentive to stay on in education disappeared. We show that the decrease in the benefit of pursuing education for men was followed by a fall in their educational achievement relative to women and by a decrease in their relative entry wages. These results suggest that high school dropout rates could be reduced by policies increasing the immediate benefits of pursuing education and that it would yield a substantial improvement in early labor market outcomes.