This also means OBCS are not underrepresented within the rich
The most common rhetoric while arguing for doing away with the 50% limit on reservation to accommodate more OBCS is that they are among the poorest in India. An analysis of AIDIS data shows that this is at best a half-truth. Because OBCS are the single largest social group in India, even a low share among the rich is consistent with as many OBCS in these ranks as other social groups, especially those who do not belong to SC-ST-OBC groups. An HT analysis of unit level data from AIDIS shows that OBCS had the largest share among households in each decile class except the top 10%, where households outside the SC-ST-OBC groups account for almost half the total share. The overall share of OBC and non SC-ST-OBC households in AIDIS is 43.5% and 27.2%. Simply speaking, OBCS dominate the ranks of both the rich and poor.
OBCS are the single largest population group but they are far from a homogenous cohort, both socially and economically. The union government recognises 2,479 OBC sub-castes in its list as of 2018, according to the social justice ministry’s website. In 2017 the current government set up the Justice Rohini commission to sub-stratify reservation for OBCS on the grounds that certain sub-castes had gained disproportionately from the policy. Because there is no data on sub-caste population, leave alone socio-economic aspects of OBCS, whether or not the economic inequalities between OBCS are a function of sub-caste is difficult to answer.
AIDIS numbers cited above underline the problems with any argument selling reservation as a silver bullet to the socio-economic deprivation of OBCS in India. Reservations only offer an edge in competing for government jobs, which are on a declining trajectory from an already small base in India.
Given intra-group inequalities within OBCS, the relatively well-off are more likely to gain from such opportunities. Any efforts to tilt the scales in favour of the underprivileged OBCS is likely to run into resistance from the Mandal era parties, where the dominant OBCS are in leadership.