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Improving the Labor Market Outcomes of Minorities: The Role of Employment Quota

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  • Prakash, Nishith

    ()
    (University of Connecticut)

Abstract

The world's biggest and arguably most aggressive form of employment based affirmative action policy for minorities exists in India. This paper exploits the institutional features of federally mandated employment quota policy to examine its effect on labor market outcomes of two distinct minority groups. My main finding is that employment quota significantly in- creases the probability of acquiring a salaried job for one minority group and not the other. Their improved employment outcome is also reflected in their higher household consumption expenditure. Overall, the effects vary within each minority group by education, gender, and geographical location.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 4386.

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Length: 51 pages
Date of creation: Sep 2009
Date of revision:
Handle: RePEc:iza:izadps:dp4386

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Keywords: caste; employment; wage differentials; public sector; India;

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  1. Donohue, John J, III & Heckman, James, 1991. "Continuous versus Episodic Change: The Impact of Civil Rights Policy on the Economic Status of Blacks," Journal of Economic Literature, American Economic Association, vol. 29(4), pages 1603-43, December.
  2. Raghabendra Chattopadhyay & Esther Duflo, 2004. "Women as Policy Makers: Evidence from a Randomized Policy Experiment in India," Econometrica, Econometric Society, vol. 72(5), pages 1409-1443, 09.
  3. Harry Holzer & David Neumark, 1999. "Assessing Affirmative Action," NBER Working Papers 7323, National Bureau of Economic Research, Inc.
  4. Caitlin Knowles Myers, 2005. "A Cure for Discrimination? Affirmative Action and the Case of California Proposition 209," Middlebury College Working Paper Series 0525, Middlebury College, Department of Economics.
  5. Bertrand, Marianne & Hanna, Rema & Mullainathan, Sendhil, 2010. "Affirmative action in education: Evidence from engineering college admissions in India," Journal of Public Economics, Elsevier, vol. 94(1-2), pages 16-29, February.
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Cited by:
  1. Aimee Chin & Nishith Prakash, 2010. "The Redistributive Effects of Political Reservation for Minorities: Evidence from India," NBER Working Papers 16509, National Bureau of Economic Research, Inc.
  2. Azam, Mehtabul & Prakash, Nishith, 2010. "A Distributional Analysis of the Public-Private Wage Differential in India," IZA Discussion Papers 5132, Institute for the Study of Labor (IZA).

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