The Caste System in India. Please watch Prof. Mridu Rai: Caste system in India or read The Caste System: Effects on Poverty in India, Nepal and Sri Lanka. Then, compare India’s caste system with racial/ethnic stratification in the United States. What are the similarities and how do the differences create the potential for upward mobility in the U.S.? Based on your review of the video, why does the caste system remain so powerful in India?