Does Employment Quota Explain Occupational Choice Among Disadvantaged Groups? A Natural Experiment from India
AbstractThis paper examines the effect of a federally-mandated public sector employment quota policy for minorities on their occupational choice. We utilize multiple logit models to estimate the effect of the policy on the choice between a high, middle, or low-skill public sector occupation during the 1980s and 1990s. The main findings are, first, the policy has a significant effect on the choice of occupation for both groups. The policy increases the probability of the scheduled caste group choosing high-skill occupations and decreases the probability of choosing middle-skill occupations. In contrast, the policy decreases the probability of the scheduled tribe group choosing high-skill occupations and increases their probability of choosing low-skill occupations. Second, the influence of the policy is interrelated with an individual's years of schooling. Third, we find evidence of employment quota externalities in that a policy targeted at one group affects the occupational choice of the other group. Overall, the results suggest that federally-mandated employment quotas do change occupational choice for the target disadvantaged groups and contribute to their improved socio-economic standing.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 13573.
Date of creation: 29 Nov 2008
Date of revision:
Occupational choice; Skill; Caste; India;
Find related papers by JEL classification:
- J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion
- O10 - Economic Development, Technological Change, and Growth - - Economic Development - - - General
- O2 - Economic Development, Technological Change, and Growth - - Development Planning and Policy
- J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
This paper has been announced in the following NEP Reports:
- NEP-ALL-2009-02-28 (All new papers)
- NEP-CWA-2009-02-28 (Central & Western Asia)
- NEP-DEV-2009-02-28 (Development)
- NEP-LAB-2009-02-28 (Labour Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Boskin, Michael J, 1974. "A Conditional Logit Model of Occupational Choice," Journal of Political Economy, University of Chicago Press, vol. 82(2), pages 389-98, Part I, M.
- A Aggarwal & R Freguglia & G Johnes & G Spricigo, 2011. "Education and labour market outcomes : evidence from India," Working Papers 615663, Lancaster University Management School, Economics Department.
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