The effect of deployment on first‐ and second‐term re‐enlistment in the US active duty force

Why should deployment affect re‐enlistment? In our model, members enter the military with naïve beliefs about deployment and use actual deployment experience to update their beliefs and revise their expected utility of re‐enlisting. Empirically, re‐enlistment is related to the type and number of deployments, consistent with the learning model. Non‐hostile deployment increases first‐term re‐enlistment but hostile deployment has little effect except for the Army, where the effect is positive. Both types increase second‐term re‐enlistment. Interestingly, first‐term members with dependants tend to respond to deployment like second‐term members. In addition, deployment acts directly to affect re‐enlistment, not indirectly through time to promotion.