A self-fulfilling prophecy refers to a belief or expectation about something that influences actions in a way that causes the belief to become true. In the passage, the Britishers' negative beliefs about Indians (that they were not good enough) led to Indians internalizing this belief. This belief influenced their actions, and they continued to take up jobs that were below their potential. This created a cycle where the expectation was reinforced, making it true.
- Scapegoating involves blaming an individual or group for problems not necessarily caused by them, which is not relevant here.
- Social Identity refers to how individuals define themselves in terms of group membership, but the scenario here involves internalized beliefs and actions based on those beliefs.
- Kernel of Truth refers to the idea that some stereotype or belief may have a small basis in reality, which does not apply here, as the belief in the Britishers' superiority was not valid or true.
Thus, the correct answer is Self-fulfilling prophecy.