The Caste Dividend: Quantifying Unequal Accumulation and Correcting Intellectual Debt in India's Economic History

Abstract:This paper applies a Pikettyesque historical-economic framework to analyze caste-based wealth extraction in India, quantifying the "caste dividend"—the systemic transfer of wealth, labor, and resources from marginalized castes (Dalits, Adivasis, Other Backward Classes) to dominant castes (Brahmins, Kshatriyas, Vaishyas, and upwardly mobile Shudras). Using a multi-methodological approach combining historical land records, wage and occupational data, and counterfactual simulations, we estimate the magnitude of intergenerational caste-based accumulation. Crucially, this study addresses the intellectual debt owed to anti-caste thinkers like B.R. Ambedkar, Jyotirao Phule, and contemporary Dalit economists, alongside anthropological insights from scholars like Iravati Karve, who first theorized caste not merely as a social hierarchy but as a deeply embedded economic system of exploitation. By synthesizing their insights with quantitative analysis and proposing rigorous hypothesis tests, the researcher argues that India's persistent economic disparities cannot be comprehensively understood or addressed without explicitly accounting for caste-based expropriation and its enduring legacy. This paper concludes by outlining a framework for reparative justice mechanisms to correct this historical injustice. Python codes and snippets are provided for any researcher to confirm the hypothesis testing.