Paper short abstract:

This paper examines the changing contours of caste disparities and discrimination, and the role of affirmative action, during a period of rapid globalisation of the Indian economy.

Paper long abstract:

Do traditional socioeconomic hierarchies persist or wither away in the face of globalization, and do preferential policies, designed to lower intergroup disparities, deliver the outcome they were set up for? We examine these issues in the context of India by comparing successive age cohorts of three broad social groups - Scheduled Castes and Tribes (SC-STs), Other Backward Classes (OBCs) and "Others" (proxy for upper castes) - and provide the first disaggregated picture of the evolution of inter-caste disparities. Our results show that on a range of key indicators - higher education, white-collar jobs, average household expenditure and daily wages - caste gaps have remained static or increased. We find that extending job quotas to OBCs in 1993 had positive effects on access to government jobs, as well as on secondary schooling attainment. Finally, we explore some reasons behind the persistence of gaps between caste groups despite the positive effects of affirmative action. Using anthropometric data from National Family Health Survey (NFHS) we find substantial caste gaps in incidence of wasting and stunting among children - early life deprivations that most likely carry forward into adult life. Using data on learning outcomes and practice of "untouchability" from the India Human Development Survey (IHDS), we find that the variation in this illegal but widespread practice, is associated with lower learning outcomes in SC children. We argue that childhood deprivations and discrimination are the likely factors underlying persistent caste gaps among adults, despite significant positive effects of affirmative action.

Paper short abstract:

Using a panel dataset comprising 36 African countries, this paper investigates whether countries where citizens identify to a greater extent with the nation rather than with a particular tribe have a greater uptake and use of digital technologies (Internet and mobile phones).

Paper long abstract:

The idea that stronger "nation-building" - as opposed to a greater ethnicity orientation - would contribute to better public goods provision (on the supply side) is not new (Miguel, 2002; Miguel and Gugerty, 2004). There is a large empirical literature that supports this view, although less consensus over the mechanisms through which the relationship operates (Habyarimana et al., 2006). It would also be reasonable to argue that on the demand side, populations with a shared sense of identity would be more likely to collaborate on digital platforms (socially, politically and economically).

Contrary to expectation, a preliminary investigation of data on 36 African countries in 2014/15 shows a statistically significant correlation between stronger tribal identification and digital use (mobile and Internet). A number of possible explanations arise: Those with a stronger ethnic identification prefer online communication due to anonymity, greater personal comfort and convenience when interacting with other tribes and this increases social and economic interactions; "intra-tribe" communication is higher among those who identify more closely with their own tribe; and the safety-related use is higher where greater tribal affiliation is high insofar as ethnic identification is associated with conflict (a view that finds mixed evidence).

Using panel data and advanced econometric methods this paper examines whether there is a causal relationship between ethnic affiliation and digital use. Given ICTs play an important role in economic progress, the study notes the effect of social stratification on economic progress due to supply side (public goods provision) and demand side (extent of use) factors.

Paper short abstract:

Elite occupations are characterised by the magnitude of income accumulation. This paper however shows that the cumulative effects on group earnings is a pattern visible across the strata of the society, for a dominant group at the expense of other racial, ethnic, and gender groups.

Paper long abstract:

Elite occupations are characterised by the magnitude of income accumulation. This paper however shows that the cumulative effects on group earnings is a pattern visible across the strata of the society. The literature on identity, stratification, and intersectionality has long shown the importance of group identity in explaining the persistence of income inequality. By taking a group perspective to individuals, the contribution of this paper is to reveal that elitist earnings, whereby one group earn disproportionately at the expense of other demographic groups at the occupational level, exist across the labour force. The case studies on the US and UK labour force show that elitist earnings is a group phenomenon, not specific to elitist occupations. There is in effect a pattern of elitist earnings across occupations for a dominant group, mainly white male or female, at the expense of other racial, ethnic, and gender groups.

Paper short abstract:

Micro-finance empower women, encourage financial inclusion, job creation and thereby eradicates poverty. This article highlights improper practices of micro-finance functions and how woman borrowers affected economically and socially.

Paper long abstract:

Woman at the bottom of the pyramid are the important strata of every society who needs to be empowered, specially in the developing country. Micro-finance is the provision of providing affordable financial services to low-income households with the primary objective to fight against poverty and empower woman. However, past research studies have reported that there is lack of robust evidence to prove the strong impact of micro-finance on poverty alleviation and women empowerment.

Qualitative focus group discussions conducted in Sri Lanka among woman micro-loan borrowers reveals that they are charged higher interest, around 72% per annum. Impoverished woman from low-income households are charged higher interests as they belong to a lower socioeconomic class/strata. The women borrowers taken advantage of in the name of woman empowerment. In the event of a delay of loan repayments, the women borrowers are subjected to insults and public humiliation by the agents/loan officers. Women are being pressurized by a male family member, i.e. by husband or sons to borrow money to finance their consumption such as alcohol, smoking etc. Exploitation of woman in the form of improper micro-finance practise not only harming them economically by burdening their saving and creating inequality . It is also damaging their social values. Policy maker in developing countries must ensure regulation such as tight interest rate and impose measures on attitude and ethical behaviour of micro-finance agent.

Paper short abstract:

This paper explores the role and dynamics of stratification on inequality in high-income countries in the context of financial deepening since 1980s, focusing on changing power relationships across socio-economic groups in USA and selected European countries.

Paper long abstract:

The aim of this paper is to explore the role and dynamics of stratification on inequality in high-income countries in the context of financial deepening since 1980s. It draws a hypothesis that differences in the structure of asset and debt holdings among households have influenced the distribution of income and wealth due to the changing nature of financial sector operations, deregulation and labour market liberalisation policies. On the one hand, financial deregulation and privatisation policies have contributed to disparate income growth across the distribution, exacerbating income inequality. On the other hand, structured finance has allowed the rich to accumulate high-yielding assets while forcing the middle/low-income groups into unsustainable indebtedness, leading to massive wealth disparities. The paper examines this hypothesis by comparing the evolution of inequality measures and distributions of income, net wealth, asset and debt holdings overtime across USA and selected European Union countries. It uses data from the US Survey of Consumer Finances between 1989 and 2013, as well as the first wave of the European Household Finance and Consumption Survey. It is shown that there are clear between-group differences in the holdings of wealth, leading to persistence of inequality overtime. Moreover, geographical differences in household wealth composition reveal heterogeneity in which processes of financial development influence power relations in society. The main contribution of this paper is to develop an explicit transmission mechanism between wealth, inequality, finance, and macroeconomic structures, focusing on the power relationships across socio-economic groups and differences between the US and the European experience.