We investigate the role of economic factors in the enrolment decision at the higher education level in India. The study concludes that the rate of participation of women is in a disadvantaged position in the post-reform period. Women’s education has started to loose its importance as a determinant factor of economic development, rather, in the post-reform period, it has become the result of the latter. Relatively low ‘probability of getting job’, as well as, unfavourable prospect for ‘life time earnings’ of different female degree holders at the higher education level might have acted as a determinant factor in the enrolment decision for women in the postreform period.