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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.

Suggested Citation

  • Prakash, Nishith, 2008. "Improving the Labor Market Outcomes of Minorities: The Role of Employment Quota," MPRA Paper 11010, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:11010
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    Cited by:

    1. Chin, Aimee & Prakash, Nishith, 2011. "The redistributive effects of political reservation for minorities: Evidence from India," Journal of Development Economics, Elsevier, vol. 96(2), pages 265-277, November.
    2. A. Amarender Reddy & Surabhi Mittal & Namrata Singha Roy & Sanghamitra Kanjilal-Bhaduri, 2021. "Time Allocation between Paid and Unpaid Work among Men and Women: An Empirical Study of Indian Villages," Sustainability, MDPI, vol. 13(5), pages 1-17, March.
    3. Elizabeth Kaletski & Nishith Prakash, 2016. "Affirmative action policy in developing countries: Lessons learned and a way forward," WIDER Working Paper Series 052, World Institute for Development Economic Research (UNU-WIDER).
    4. Mehtabul Azam & Nishith Prakash, 2015. "A Distributional Analysis of Public–Private Wage Differential in India," LABOUR, CEIS, vol. 29(4), pages 394-414, December.
    5. Elizabeth Kaletski & Nishith Prakash, 2016. "Affirmative action policy in developing countries: Lessons learned and a way forward," WIDER Working Paper Series wp-2016-52, World Institute for Development Economic Research (UNU-WIDER).
    6. Michael Levere & Purvi Sevak & David Stapleton, "undated". "Policy Changes for SourceAmerica Nonprofit Agencies: Impacts of Eliminating Section 14(c) and Reducing AbilityOne's Required Direct Labor Ratio," Mathematica Policy Research Reports dcbb25f4acc94421a7dd1cd45, Mathematica Policy Research.
    7. Gaurav Khanna, 2020. "Does Affirmative Action Incentivize Schooling? Evidence from India," The Review of Economics and Statistics, MIT Press, vol. 102(2), pages 219-233, May.

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    More about this item

    Keywords

    Caste; Employment; Wage dierentials; Public Sector; India;
    All these keywords.

    JEL classification:

    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • D00 - Microeconomics - - General - - - General

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