Relation between education and employment outcomes in the Indian labour market: A critical review of the literature

The relation between education attainment and employment opportunities is intuitively obvious. The human capital theory posits that investments in human capital are positively related to future economic growth. But does this relation hold in the context of the Indian labour market characterized by marked differences across social groups, gender and regions? This study examines the extant literature on the relation between education attainment and employment outcomes. It also reveals interesting new insights about the Indian labour marketthat contradict the human capital explanation. Finally, it suggests directions for future research to understand the nexus between education and employment outcomes in the Indian labour market.