Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/227374 
Year of Publication: 
2020
Series/Report no.: 
IZA Discussion Papers No. 13847
Publisher: 
Institute of Labor Economics (IZA), Bonn
Abstract: 
India has the world's biggest and arguably most aggressive employment-based affirmative action policy for minorities. This paper exploits the institutional features of a federally mandated employment quota policy to examine its causal impact on the economic lives of the two distinct minority groups (Scheduled Castes and Scheduled Tribes). My main finding is that a 1-percentage point increase in the employment quota for Scheduled Castes increases the likelihood of obtaining a salaried job by 0.6-percentage points for male Scheduled Caste members residing in the rural sector. The employment quota policy has no impact for Scheduled Tribes. Contrary to popular notion, I do not find evidence of "elite-capture" among the Scheduled Castes – the impact is concentrated among members who have completed less than secondary education. Consistent with the employment results, I find that the policy improved the well-being of Scheduled Castes members in rural areas who have completed less than secondary education. Finally, the impact of the employment quota policy varies by state characteristics.
Subjects: 
consumption expenditure
Scheduled Tribes
Scheduled Castes
employment quota
public sector
India
JEL: 
H40
J21
J31
J45
O10
Document Type: 
Working Paper

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