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Economic Comparison and Group Identity: Lessons from India

Author

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  • Xavier Fontaine

    (PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, PSE - Paris-Jourdan Sciences Economiques - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - INRA - Institut National de la Recherche Agronomique - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique)

  • Katsunori Yamada

    (ISER - Institute of Social and Economic Research - Osaka University [Osaka])

Abstract

The caste issue dominates a large part of India's social and political life. Caste shapes one's identity. Furthermore, strong tensions exist between castes. Using subjective well-being data, we assess the role economic comparisons play in this society. We focus on both within and between-castes comparisons. Within-caste comparisons appear to reduce well-being. Comparisons between rival castes are found to decrease well-being three times more. We link these results to two models in which economic comparison triggers the actual caste-based behaviours (castes' political demands, discrimination).

Suggested Citation

  • Xavier Fontaine & Katsunori Yamada, 2012. "Economic Comparison and Group Identity: Lessons from India," PSE Working Papers hal-00711212, HAL.
    • Handle: RePEc:hal:psewpa:hal-00711212
    Note: View the original document on HAL open archive server: https://pjse.hal.science/hal-00711212v2
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    References listed on IDEAS

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    2. Arthur Lewbel & Samuel Norris & Krishna Pendakur & Xi Qu, 2022. "Consumption peer effects and utility needs in India," Quantitative Economics, Econometric Society, vol. 13(3), pages 1257-1295, July.

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    Keywords

    Subjective Well-being; Relative Income; Identity; Caste; India; discrimination; Panel Data;
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