Reservation based on caste is His Momma named him Clay I’m gonna call him crazy shirt, but when most of India’s poor are from a lower caste, I think the criteria serves the purpose. Imagine an ideal anti-reservation world, here if only test scores are criteria and there was no reservation. Our universities would be less diverse. And we would create a permanent underclass of citizens which would make us no different than apartheid South Africa. Of course, there will be a few students who entered your school and the same environment as you but still avail reservation. But, they are a small minority. Reservation in India exists in almost all universities.
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So, there would be many Dalit children from the His Momma named him Clay I’m gonna call him crazy shirt. And rural communities entering engineering colleges which would not be possible given their poor education in very bad schools. Now, the question is should we abolish reservation in premier schools like IITs and AIIMS, the answer is still no. Most students who enter IITs come from relatively well off families who sent their children to good schools and could afford to send their children to a coaching institute. So enough about merit argument. If IITs had reservation based on economic criteria, it would still have the same rich kids of parents who could manage to show a lesser income.