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 a 1-percent increase in employment quota significantly increases the probability of acquiring a salaried job by 0.9- percentage points for one minority group and not the other. Their higher employment resulted in higher household consumption expenditure. Overall, the effects vary within each minority group by education, gender, and geographical location. |