Bengaluru: A study has revealed that Dalit business owners in India earn, on average, 16 percent less than other business owners, including those from other disadvantaged communities. This income gap can be solely attributed to caste, according to the research paper titled ‘It’s not who you know, but who you are: Explaining income gaps of stigmatized-caste business owners in India’, which was published earlier this week in the research journal PLOS One.

The study by researchers from India, the UK, and Australia found that social capital—a measure of "whom you know," often considered beneficial in various situations, including business—did not significantly improve the incomes of Dalit business owners.

The study employed three analytical techniques, all yielding similar results: there is a 15 to 18 percent income gap between Dalit business owners and others, which can be attributed solely to caste and not other factors like whether they live in urban or rural areas, their education, family background, or land ownership, according to Prateek Raj, an assistant professor at the IIM-Bangalore and lead member of the research team, as noted in the Telegraph.

The analysis revealed that business owners from other disadvantaged groups, such as Other Backward Classes, Scheduled Tribes, or Muslims, benefited from social capital, suggesting that those with more social capital had higher income levels. However, for Dalits (Scheduled Castes), social capital had a much smaller impact, amplifying income disparities compared to others with the same levels of social capital.

Hari Bapbuji, co-author of the paper and a professor at the University of Melbourne, noted that this is due to the stigma associated with Dalits, which affects them personally and is reinforced in social interactions.

Moreover, the study found that human capital, measured by the number of years of school or college education, provided similar income benefits to Dalit business owners as it did to other business owners. Thomas Roulet, an associate professor at the University of Cambridge and the study’s third collaborator, explained that this implies having social capital, or a network, is not as effective as having education in countering stigma.

Experts estimate that Dalits constitute between 250 million and 300 million of India’s 1.4 billion population. This research claims to be one of the first to quantify the impact of caste on business income. While the researchers had expected the effect of social capital would limit stigmatisation, the results showcased that it actually makes stigmatisation even more damaging. Raj stated that the stigma faced by Dalits might not always be explicit discrimination but could result from ingrained attitudes or biases, potentially practiced unconsciously.

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New Delhi, Nov 22: BJP leader Vinod Tawde has demanded an apology from Congress president Mallikarjun Kharge and the Leader of Opposition in Lok Sabha Rahul Gandhi for making "false and baseless" allegations against him in the cash-for-votes incident in Maharashtra, saying if they don't he would sue them for defamation.

Tawde was accused by Bahujan Vikas Aghadi, a regional party, of distributing Rs 5 crore to woo voters, with its members barging into a hotel room on November 19 in a Mumbai suburb, where the BJP leader was present.

The former Maharashtra minister and BJP national general secretary claimed innocence, saying the alleged amount was not recovered in the probe by the Election Commission and police.

"The Congress only believes in spreading lies, and this incident is a proof of the party's low level politics to dent me and my party's image," Tawde said.

The two Congress leaders and the party spokesperson Supriya Shrinate seized on the row to accuse the BJP of using money power to influence the November 20 assembly polls in the state.

The legal notice sent to the three claimed that they were aware that they were pushing a "totally false story fabricated" by them.

"You all have deliberately, mischievously with the sole intention of damaging the reputation of our client intentionally fabricated the story distribution of money. You all have published false, baseless allegations against our client on various media for tarnishing his image in the eyes of right thinking people in the society," the notice read.

The Congress leaders were in a "great hurry" to damage Tawde's reputation, they did not bother to check the fact and or despite knowing the entire fact they made the false, baseless allegations, it said.

"The entire imputation made by you all are totally false, baseless, malicious and mala fide and as our client is in no way involved in any such illegal activity and as a responsible office bearer of the national political party he is aware of his duties," it added.

The notice demanded an "unconditional apology" to Tawde within 24 hours from the time the receipt of the notice, which was sent on November 21, and published in newspapers and X.

If they do not offer apology, then Tawde will initiate criminal proceedings under Section 356, which covers defamation, of the Bharatiya Nyaya Sanhita and also civil proceedings for the damages of Rs 100 crore against the three Congress leaders, the notice said.