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

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  • Prakash, Nishith

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 Indian mandated employment quota policy to examine its effect on minorities' [scheduled castes (SCs) and scheduled tribes (STs)] labor market outcomes. My best estimate of the effect of 1- percent increase in employment quota for SCs increases their probability of finding a salaried job by 0.9- percentage points. This effect varies by gender and location. The less educated SCs experienced increase in their consumption expenditure. I do not find similar effects for the STs.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 11010.

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Date of creation: Aug 2008
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Handle: RePEc:pra:mprapa:11010

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Keywords: Caste; Employment; Wage dierentials; Public Sector; India;

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  1. David Neumark & Harry Holzer, 2000. "Assessing Affirmative Action," Journal of Economic Literature, American Economic Association, vol. 38(3), pages 483-568, September.
  2. Raghabendra Chattopadhyay & Esther Duflo, 2004. "Women as policy makers: Evidence from a randomized policy experiment in india," Framed Field Experiments, The Field Experiments Website 00224, The Field Experiments Website.
  3. Marianne Bertrand & Rema Hanna & Sendhil Mullainathan, 2008. "Affirmative Action in Education: Evidence From Engineering College Admissions in India," NBER Working Papers 13926, National Bureau of Economic Research, Inc.
  4. 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.
  5. Caitlin Knowles Myers, 2005. "A Cure for Discrimination? Affirmative Action and the Case of California Proposition 209," Middlebury College Working Paper Series, Middlebury College, Department of Economics 0525, Middlebury College, Department of Economics.
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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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