Was the Mandal Commission Right? Living Standard Differences between Backward Classes and Other Social Groups in India
University of East Anglia
Ira N. Gang
Rutgers University - Economics Department; Institute for the Study of Labor (IZA)
Tulane University; Institute for the Study of Labor (IZA)
Brooks World Poverty Institute Working Paper No. 41
Affirmative action has been at the heart of public policies towards the socially disadvantaged in India. Compensatory discrimination policies which have been adopted for the Scheduled Castes (SC) and Scheduled Tribes (ST) since independence were recommended for Other Backward Classes (OBC) by the Mandal Commission established by the Indian government in 1979. We examine why OBC have lower living standards, as measured by per capita household consumption expenditures, relative to the mainstream population, and whether these reasons are similar to those observed for SC and ST. We find that while the causes of the living standard gap for the OBC are broadly similar to those for the SC and ST, the role of educational attainment in explaining the gap is higher in importance for the OBC.
Number of Pages in PDF File: 33
Keywords: living standards, caste, reservation policy, decomposition
JEL Classification: I32, O12, J15working papers series
Date posted: September 11, 2008
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