The consequences of discrimination can lead to deprivation indirectly, through passive discrimination in which discouragement and lower self-confidence results in poor performance, or through direct routes that limit access to income or education that is mobility enhancing. Yet reaching the pinnacle of what Indian education has to offer is not sufficient to create full and open opportunity. Further not all markets are competitive. Therefore pressure on firms, will self-correct discriminatory behaviour. Thorat, Sukhadeo, Aryama, and Prashant Negi (2005): Reservation and Private Sector, India, Rawat, Delhi. Taken together, these papers constitute an argument that far from fading as India modernises, the problem of discrimination remains a serious one – even at the very top of the human capital hierarchy. Far from disappearing as the economy modernises, discrimination remains a problem which, for reasons outlined here, is not amenable to self correction, but rather requires interventionist policies to remedy. Market failure associated with economic discrimination leads to lower economic growth, inequality in income, poverty and inter-group conflict. This definition captures three distinguishing features of social exclusion: it affects culturally defined groups, is embedded in social relations between them, and results in deprivation or low income for those excluded [Hann 1997; Sen 2000]. Causes of Inequalities: There are several causes which give rise to inequality of incomes in an economy: (i) Inheritance: Some persons are born with a silver spoon. SUKHADEO THORAT, KATHERINE S NEWMAN The view that inefficiency, and therefore pressure on firms, will self-correct discriminatory behaviour argues in favour of strengthening competitive markets as the solution to this vexing problem. Jodhka, Surinder and Katherine Newman (2007): ‘In the Name of Globalisation’ in this issue of Economic and Political Weekly. Email: skthorat@hotmail.com knewman@princeton.edu While many Black and low-income families have seen their health and livelihoods at increased risk, wealthier and disproportionately white families and communities have been better able to weather the economic fallout—a stark reflection of racial wealth inequality. It includes every relationship which established among the people. In such a society, there is every possibility for caste conflicts to occur. They make use of research techniques pioneered in the US to measure discrimination in quantitative terms and to identify attitudes and beliefs through qualitative means that contribute to discriminatory patterns of hiring on the part of participants in the matching process (employers and job seekers). Jobs regarded as socially degrading, almost by definition, reduce the social status of those who hold them – scavenging being the classic example. For example, A caste system makes you poor if you are born in a poor family. Jodhka, Surinder and Katherine Newman (2007): ‘In the Name of Globalisation’ in this issue of Economic and Political Weekly. Thorat, Sukhadeo, Aryama, and Prashant Negi (2005): Reservation and Private Sector, India, Rawat, Delhi. vii. The dignity of physical labour – a key aspect of jobs at the bottom of the status hierarchy – is nearly absent in the work ethic of the caste system and hence impacts the incentive to work in adverse ways. Therefore pressure on firms, will self-correct discriminatory behaviour. By preventing the free mobility of human labour, land, capital and entrepreneurship, the caste system creates imperfect, segmented, and monopolistic divisions in factor markets. Labour and capital fail to move from one occupation to another even when the wage rate and rate of return (on investment) is higher in alternative fields. Literary programmes must be taken up in rural areas as the caste feelings, which further perpetuate casteism, are more in rural areas. In market economies, occupational immobility is the result as restrictions on access to land, labour, capital, credit, education, and other inputs and services necessary for commercial activity provide for differential capacities to participate. By preventing the free mobility of human labour, land, capital and entrepreneurship, the caste system creates imperfect, segmented, and monopolistic divisions in factor markets. The current pattern of inter-group inequality closely matches the economic scheme of the caste system. Without intervention, classically untouchables, or dalits, who lie at the very bottom of the social order, find themselves restricted to the most despised occupations and the lowest wages. He draws distinctions between situations in which individuals are kept out (or left out) and circumstances of inclusion (including forced inclusion) on deeply unfavourable terms. The woman of the higher caste must be a Virgin when they marry a man but the woman from the lower caste … Akerlof, George (1976): ‘The Economics of Caste and of Rat Race and Other Woeful Tales’, Quarterly Journal of Economics, XC, 4, November. Gender inequality is a social and cultural phenomenon in which there is discrimination against people due to their gender. Higher caste Hindus would generally prefer to opt out of the market for some time than to take up an occupation defined as polluting. Many political leaders, during elections, try to procure votes on communal and caste basis, rather than their own capacities and capabilities. This is how the inequality between the cast was accepted by many people in india. The upper caste people treat lower caste people with contempt. Economic efficiency is also affected by reducing the job commitment and effort among workers who perceive themselves as victims of discrimination, and by reducing the magnitude of investment in human capital by discriminated groups because the return on their investment is weakened. Dirks, Nicholas (2001): Castes of Mind: Colonialism and the Making of Modern India, Princeton University Press. Exclusion involves both the act of restricting access and the consequences that follow, principally forms of deprivation. Given the virtues of increasing economic efficiency and growth, as well as reducing poverty and inequality, there is a compelling interest in diminishing the market discrimination. It may cause a hurdle to the upliftment of women because of lack of encouragement from caste-conscious groups. We can feel its impact in different areas: work, social life, family life, etc. Jobs regarded as socially degrading, almost by definition, reduce the social status of those who hold them – scavenging being the classic example. Ltd. In the absence of opportunities to display their talents, groups that have been excluded will find it difficult to develop the necessary signals that will make clear what employers are missing by avoiding them. This is a struggle between social ideals, but fundamentally as well, one that is based on disagreements about the empirical state of markets. ii. However when it comes to providing equal opportunity through instruments like reservations, we see considerable disagreement. The culture of each caste varies though they all belong to one religion. iv. Economic and Political Weekly October 13, 2007 even for highly qualified dalits and Muslims. EPW Instead, as Ambedkar (1936) pointed out long ago, the jobs to which untouchables are restricted engender aversion, ill will and the desire to evade. This guide concerns the systematic analysis of social inequalities. According to R. N. Sharma, different scholars have suggested different views and solutions for the problems and conflicts arising out of casteism. They may take some time to appear. Content Filtrations 6. In the Indian context, exclusion revolves around institutions that discriminate, isolate, shame, and deprive subordinate groups on the basis of identities like caste, religion and gender. Some of the solutions for the problems arising out of casteism are as follows: i. Till now, we have discussed about the ill-effects of casteism. Yet these papers pose the questions in the context of the most advantaged applicants, who (in theory) face the lowest barriers at entry to favoured occupations since they possess formidable qualifications. These investments are a form of reparations – to lower castes, especially those formerly deemed untouchable, or to other backward castes, women and some religious minority groups – in recognition of the denial of equal economic rights from which they have suffered in the past. For copies write to: Circulation Manager This will lead to improvement of behaviour between different sexes simultaneously, with which casteism will be actively refuted. Indian society is a country of various religions. It is critical to take note of the particular form of exclusion in the Indian context, where ascriptive rather than achieved characteristics are the basis of exclusion. Thus, economic and cultural equality is important in eliminating casteism. Casteism, indirectly, can be the cause of corruption. In short, social exclusion – in its more specific manifestation as discrimination – refers to the processes through which groups are wholly or partially restricted from full participation in the economic, educational, and social institutions that define social membership. It has been argued, particularly by private sector leaders, that discrimination is a problem of the past [Jodhka and Newman 2007]. Casteism as a Major Rural Social Problem: Meaning, Causes, Solution and Suggestion. Segregation depending on job capability:Caste system determined your social status by your ability of doing a job. The caste system is very much embedded with economic particularly in India. Each religion is sub-divided into different castes and these castes again into sub-castes. Gender inequality in India is a multifaceted issue that concerns men and women. Discrimination is clearly a particular kind of exclusion and it can take on an active or a passive form. The papers presented here were conceived as tests of the proposition that discrimination is no longer an issue in Indian labour markets, particularly in the formal, private sector. It sets the stage for the four empirical papers that follow, by highlighting the ways in which caste persists as a system of inequality that burdens the Indian economy with inefficiencies in the allocation of labour and other critical resources, reducing the full development of human capital in society. In market economies, occupational immobility is the result as restrictions on access to land, labour, capital, credit, education, and other inputs and services necessary for commercial activity provide for differential capacities to participate. Caste has long been used to regulate economic life in India [for a thorough historical treatment see Dirks 2001]. If one subdivided the households by caste/religion and region, so that one had 35 categories, then by additively decomposing inequality, as above, one could say that caste/religion and region collectively accounted for [(B/I) × 100]% of overall inequality, the remaining inequality being due to inequality within the 35 categories. Haan, De Arjan (1997): ‘Poverty and Social Exclusion: A Comparison of Debates on Deprivation’, Poverty Research Unit, Working Paper No 2, University of Sussex, Brighton. Either type can generate adverse effects. Moreover, because it is built on a foundation of restriction, the caste system fosters inter-group conflict that is socially harmful and diverts human resources to destructive ends. The economic organisation of the caste system is based on the division of the population into a hierarchical order of social groups that determine the economics rights of members, which are determined by birth and are hereditary in the strictest sense of the term [Akerlof 1976; Scoville 1991; Lal 1989; Ambedkar 1936 and 1987]. Instead, as Ambedkar (1936) pointed out long ago, the jobs to which untouchables are restricted engender aversion, ill will and the desire to evade. Illiteracy can lead to social evils like child labour, mal-practices, child marriage and untouchability. Pager, Devah (2003): ‘The Mark of a Criminal Record’, American Journal of Sociology, 108 (5), pp 937-975. Indian society is cast ridden. What, then, can be done? References Ambedkar, B R (1987): (first published 1936), ‘Philosophy of Hinduism’ in Vasant Moon (ed), Dr Babasaheb Ambedkar: Writings and Speeches, Department of Education, Government of Maharashtra, Bombay, Vol 3, pp 1-94. We believe the debate over policy remedies should proceed in the light of empirical evidence and we submit these papers as a first step in that direction. higher caste individuals and involuntary unemployment for those at the bottom. ii. This legislation has proven to be contentious and has recently generated street protests as reservations have been extended to professional education (e g, medical school). Scoville, James G L (1991): ‘Towards a Model of Caste Economy’ in James G Scoville (ed), Status Influences in Third World Labour Markets, Caste, Gender and Custom, Berlin and New York. Trade economist Paul Krugman supports the proposition that globalization is an important cause of inequality. The former are not amenable to alteration as a consequence of individual agency and cannot, therefore, be regarded in any fashion as a matter of personal responsibility. The papers are the fruit of a two-year collaboration between researchers at the Indian Institute for Dalit Studies and sociologists supported by Princeton University’s Institute for International and Regional Studies. They cast some doubt on whether the natural operation of the market will be sufficient to correct this inefficiency in labour allocation. modernises, discrimination remains a problem which, for reasons outlined here, is not These continuous conflicts and ten­sions between various segments hinder the development of the nation and growth of nationalism. Under the caste system, which allows casteism to perpetuate, such restrictions placed on marriage forces an individual to marry within his own caste group, which brings about cohesion within the group, thereby increasing casteism. This means that the government should have in priority overhauled the agricultural sector. The members of the caste have to face various problems and as a result, a need to provide security on com­munal basis was felt. Hence the caste system as a form of economic organisation lacks the elements that lead to the optimum use of resources. This research suggests that managers bring to the hiring process a set of stereotypes that make it difficult for very low caste and very high caste applicants to succeed in the competition for positions, while advantage falls to the middle. Yet we should not move so fast in declaring the private sector free of discrimination, nor should we assume that human capital diffentials alone explain the “lack of advancement” that The Economist notes among the lower castes. he Economist magazine recently observed, “There is no evidence that [Indian] companies discriminate against [the lower castes]”, and argued that the relegation of low caste Indians to the bottom of the social structure is a function not of discrimination in the private sector but of the actions of a different culprit altogether: “government, and the rotten educational system it has created” (‘Business and Caste in India: With Reservations’, October 6, 2007). An evil of EPW/Sameeksha Trust Books are now able to establish intimate relationships Sharma, different have... Opt out of the caste system dictated people ` s career choice casteism can be minimized by the of! 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