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Youth unemployment as a growing global threat

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Youth unemployment as a growing global threat

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The aim of this paper is to explain the importance, causes and consequences of youth unemployment and policies to fight it. Global economic crisis made it clear that youth unemployment is more sensitive than adult unemployment. Since youth unemployment has impact on both today and future economies, it is of a priority to focus on youth unemployment. Increasing youth unemployment creates a hopeless generation and an army of unemployed, thus harming economies deeply, now and in the future.
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Fatih Ayhan1
YOUTH UNEMPLOYMENT AS A GROWING GLOBAL THREAT
The aim of this paper is to explain the importance, causes and consequences of youth unem-
ployment and policies to fight it. Global economic crisis made it clear that youth unemployment is
more sensitive than adult unemployment. Since youth unemployment has impact on both today and
future economies, it is of a priority to focus on youth unemployment. Increasing youth unemploy-
ment creates a hopeless generation and an army of unemployed, thus harming economies deeply,
now and in the future.
Keyword: youth unemployment; employment; labor market; global crisis.
Фатіх Айхан
БЕЗРОБІТТЯ СЕРЕД МОЛОДІ ЯК ЗРОСТАЮЧА
ГЛОБАЛЬНА ЗАГРОЗА
У статті пояснено важливість, причини та наслідки безробіття серед молоді, а
також наведено найбільш загальні способи боротьби з нею. Доведено, що в умовах глобаль-
ної економічної кризи молодь набагато більше чутлива до безробіття, ніж доросле насе-
лення. Продемонстровано, яким чином безробіття серед молоді має вплив як на економі-
ку сьогодення, так і на майбутній економічний розвиток. Безробіття серед молоді вима-
гає ретельної уваги, насамперед, тому, що вона породжує ціле покоління розчарованого
працездатного населення, що стає чинником ризику для національних економік та всього
світу.
Ключові слова: безробіття серед молоді; працевлаштування; ринок праці; глобальна криза.
Рис. 1. Літ. 23.
Фатих Айхан
БЕЗРАБОТИЦА СРЕДИ МОЛОДЁЖИ КАК РАСТУЩАЯ
ГЛОБАЛЬНАЯ УГРОЗА
В статье пояснена важность, причины и следствия безработицы среди молодёжи, а
также представлены наиболее общие способы борьбы с ней. Доказано, что в условиях гло-
бального экономического кризиса молодёжь намного более чувствительна к безработице,
чем взрослое население. Продемонстрировано, каким образом безработица среди молодё-
жи имеет влияние как на сегодняшнюю экономику, так и на будущее экономическое раз-
витие. Безработица среди молодёжи требует пристального внимания, в первую очередь,
потому, что она рождает целое поколение разочарованного трудоспособного населения,
что является фактором риска для национальных экономик и всего мира.
Ключевые слова: безработица среди молодёжи; трудоустройство; рынок труда; глобаль-
ный кризис.
Introduction. Youth have special importance for all the countries worldwide. Youth
can be seen as an engine for achieving development goals. Youth is more energetic, tal-
ented, creative, open-minded, productive and dynamic and it also forms future work-
ers, entrepreneurs, consumers and producers. All these potentials of youth are precious
resources for economies. Better world will be created by creative and dynamic youth.
Thus, excluding youth from economies, societies and labour market is impossible.
Youth must be integrated into labour force and economies in order to achieve develop-
ment goals. Higher youth unemployment is not a local or developing countries’ only
problem, it’s a real global challenge. Therefore, it must be battled globally.
262 ДЕМО ГРАФ ІЯ, ЕКО НОМІК А ПР АЦІ, СОЦІ АЛЬНА ЕКО НОМІКА І ПО ЛІТИ КА
ДЕМ ОГРА ФІЯ , ЕК ОНОМІ КА П РАЦІ, СОЦ ІАЛЬН А ЕК ОНОМІКА І П ОЛІТ ИКА
©Fatih Ayhan, 2016
1University of Selcuk, Konya, Turkey.
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ACTUAL P RO BL EM S OF ECONOMICS #7(181), 20 16
Youth unemployment rate is approximately three times bigger than the adult
one, 4 out of every 10 unemployed persons globally are young people. Lack of sus-
tainable decent work makes young person unprotected. According to the United
Nations definition, youth are people of the age group between 15 and 24 years old
who has not worked for a specific period of time but has willingness to work and are
actively searching for job (Gorlich et al., 2013: 1–2).
According to the ILO estimates, globally 600 mln jobs must be created over the
next decade in order to handle currently 200 mln unemployed person and 40 mln new
job market entrants each year. Economic conditions for youth are worse than before.
Almost 309 mln young people work but live in households that earn less than 2 USD
a day, millions of young people have to work part-time of temporary to survive. These
types of jobs prevent their further career developments. At the beginning of business
life, youth have to fight against challenging work conditions but they can make great
contributions to economies locally and globally (ILO, 2015a: 1).
Global youth unemployment rate has increased after the global crisis. As it is
seen in Figure 1, the number unemployed young people was around 72 mln in
2007/8, it peaked 76.6 mln in 2009 and then comparatively settled with 73.9 mln in
2013. It was estimated as 73.3 mln in 2014 and projected to be 73.4 mln in 2015. The
number of unemployed youth decreased by about 3.3 mln from the crisis peak years
in 2009 to 2014. World youth unemployment rate increased rapidly between 2007
(11.7%) and 2010 (13%) and then settled at 13.0% in 2012 to 2014. Small improve-
ments in youth unemployment happened as well. The share of youth in unemploy-
ment is getting smaller. Youth share was 36.7% in the global unemployment for 2014,
while it was 41.5% in 2004, that is 10 years ago (ILO, 2015b: 1).
Figure 1. Global youth unemployment rates, 1995–2015 (ILO, 2015b)
Entering first job is crucial for the young. It often determines the rest of one’s
life. If young person starts with higher or stable position in a career, he/she will have
better chances for further career steps. If young people are out of labour force at the
beginning of their working life, they feel desperate, idle and useless.
ДЕМО ГРАФ ІЯ, ЕКО НОМІК А ПР АЦІ, СОЦІ АЛЬНА ЕКО НОМІКА І ПО ЛІТИ КА
ДЕМ ОГРА ФІЯ , ЕК ОНОМІ КА П РАЦІ, СОЦ ІАЛЬН А ЕК ОНОМІКА І П ОЛІТ ИКА
73,4
73,3
73,9
74,3
74,4
75,6
76,6
72,9
70,5
75,9
78,7
78
77,9
78,5
75,1
74,7
74,4
73,8
71,7
70,7
69,8 12,1
12,5
12,9
12,9
13,4
13,1
13
13
11,7
12,2
12,9
13
13,1
13
13
12,9
13
12,5
12,9
12,9
12,2
64
66
68
70
72
74
76
78
80
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
10,5
11
11,5
12
12,5
13
13,5
14
Unemployment, mln Unemployment rate, %
Literature review. There are micro- and macroeconomic reasons for youth
unemployment according to the related literature. Macroeconomic reasons consist of
production level and general unemployment rate in an economy. Determinants of
youth unemployment are sustainable growth (Ryan, 2001), decreasing unemploy-
ment rate, crisis (Eichhorst et al., 2015), labor costs (Banerji et al., 2015), population
growth, transition from school to work and mismatch between education systems and
labor market demands (Conenjaerts et al., 2009). While the microeconomic level
causes most often consist of insufficient job experience (Conenjaerts et al., 2009) and
youth’s inclination to resign (O’Higgins, 2001; Gorlich et al., 2013).
Consequences of young unemployment are explained in literature as economic,
social and psychological ones. Economic results of youth unemployment are the
decrease in total output, increasing poverty, loss of human capital (Morris, 2006) and
social effects include social unrest, crimes, illegal trade, immigration, brain drain,
drug and human trafficking (ILO, 2015b). Psychological results from young people
unemployment are: mental disorders, depression, suicide attempts, feeling desperate,
idle, useless and excluded from the society (Bolton and Oatley, 1987; Taris, 2002).
1. Causes of young unemployment. There is a number of reasons for youth unem-
ployment. The most important one is poor macroeconomic performance. Lack of
insufficient economic growth affects everyone in the economy and youth especially
(Ryan, 2001). The other crucial reason for youth unemployment is insufficient
employment creation. When economy cannot create new jobs, youth will be the most
effected group.
Other determinants of unemployment are lengeth of the education process,
increasing partipication in education, increasing education level, higher wages,
unwanted working conditions, being unexperienced, lack of information about the
labour market, mismatch between skills and labour market needs etc.
Young people are generally affected deeply by the crisis, because they are the
weakest group at the labour market. So special attention must be put to youth when
policy regulation is evaluated. Young persons are vulnerable because of inadequate
work experience, low social capital, less distinctive company-specific knowledge, fewer
years of service and the resulting low redundancy payments. Thus, employer prefers to
dismiss first of all young people in case of a recession (Eichorst et al., 2013: 5).
Inadequate growth performance in economies is the most important determi-
nant of young unemployment level, especially during the crisis period. Sharp decrease
in economic performance can on average explain about 50% of youth unemployment
increase during the crisis (Banerji et al., 2014: 5).
The level of youth unemployment depends on output gap and labor market fac-
tors. These factors are labor costs (especially for low-skilled labor, minimum wage
rates, high payroll tax, social security contributions), the opportunity cost of working
(unemployment benefits) and spending on active labor market policies. Insufficient
vocational training and pervasive labor market duality can also be the determinants of
youth unemployment. Higher labor costs means higher youth and adult unemploy-
ment rates. And if there are higher unemployment payments in an economy, the will-
ingness of seaching for a new job will decrease and sometimes people prefer not to
work at all (Banerji et al., 2014: 5–14).
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ДЕМ ОГРА ФІЯ , ЕК ОНОМІ КА П РАЦІ, СОЦ ІАЛЬН А ЕК ОНОМІКА І П ОЛІТ ИКА
Youth may also be more likely to resign voluntarily than adult workers because
they prefer to explore different job opportunities (O’Higgins, 2001: 40). Rising youth
population also causes higher youth unemployment rates. This problem distorts the
demand and supply balance at the labour market.
Youth also faces higher barriers when entering the labour market because of the
lack of work experience. Shorter credit history and lack of access to business networks
prevents young people from becoming successful firm owners (Coenjaerts et al., 2009:
6). And in a recession period, firms cannot go on hiring before laying off. So job
searching youth is affected disproportionally (O’Higgins, 2001).
The mismatch between demand and supply of skills possessed by young workers
is also contributing to higher youth unemployment rates (Coenjaerts et al., 2009).
Successful transition from school to work often cannot be achieved by the young
today. Lots of training program are not suitable for today’s business life. This mis-
match between youth’s skills, knowledge and education destroys their hope about
finding a job.
2. Consequences of youth unemployment. Being unemployed at the first stage of
life for young people causes persistent negative results for all their further lives and
careers, because it harms their productive potential and future employment opportu-
nities (O’Higgins, 2007; Ryan, 2001). Rising youth unemployment brings about a lost
generation problem for many economies. If youth stays out of the labour market, this
affects the economy not only today but also tomorrow. Youths’ starting point to busi-
ness life is crucial for both themselves and their countries, since today’s young people
will become once parents and will build world’s future.
Youth unemployment is also a type of searching unemployment. Youth have an
inclination to change work in order to find best suitable job for them. Higher youth
unemployment rate is caused mainly by searching unemployment; it’s temporary and
less harmful (Gorlich et al., 2013: 5). But if this rate is large and persistent (both youth
and adult unemployment), it causes the decrease of economies’ total output because
of hysteresis effects (loss of skills and depreciated human capital), brain drain and
migration of precious labor force and the consequent hardships in implement social
and political reforms. Briefly, no matter the type of unemployment, if it is persistent
and long-term one, the hysteresis effects would be inevitable and devastating (Banerji
et al., 2014: 7).
The unemployed youth feels desperate, idle, excluded, discouraged, scarred and
thus they have to accept worse working conditions, part-time and temporary jobs and
lower income. If young people do not find regular job, these negative feelings and
costs can impact whole their life (ILO, 2006: 3). Being unemployed at the beginning
of working life causes different mental disorders (depression, suicide attempts, des-
peration) and these affects all further life if being unemployed continues for a long
period (Bolton and Oatley, 1987: 453; Taris, 2002: 53). The unemployment period
make youths’ skills and motivation obsolete (Ryan, 2001), non-used skills will
become invaluable because of rapid organizational or technological changes (De
Grip and van Loo, 2002).
Youth unemployment causes loss of production (output) and poverty, especially
in developing countries. Youth is of primary importance but can’t be always used
effectively. If its productive capacity is applied to industries, economies can develop
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ДЕМО ГРАФ ІЯ, ЕКО НОМІК А ПР АЦІ, СОЦІ АЛЬНА ЕКО НОМІКА І ПО ЛІТИ КА
ДЕМ ОГРА ФІЯ , ЕК ОНОМІ КА П РАЦІ, СОЦ ІАЛЬН А ЕК ОНОМІКА І П ОЛІТ ИКА
more quickly. Otherwise, there can be a partial loss of human capital (Morris, 2006:
8).
Being unemployed pushes youth to agree to temporary and part-time jobs, and
this has several major disadvantages:
- This type of jobs are least protected and more sensitive to changes temporary
workers are offered lower payments, and they have no job security. In time their qua-
lity of life decreases due to temporary jobs, since such a job prevents getting credit and
mortgage (Boeri, 2009).
- Temporary jobs do not have provide training opportunities for workers, and
this influences youths’ future employment possibilities (Arulampalam, 2001).
- Globalization and outer economies problems affect temporary workers first of
all (Gorg and Gorlich, 2011).
Unemployment for the period greater than 12 months can increase the stress
level and long-term unemployment is an important factor for health problems of the
youth (Dietrich, 2012: 7; ILO, 2015b: 21). When youth don’t find suitable jobs
according to their qualifications, they may choose to migrate abroad. But young
migrants also have harsh conditions abroad, they can face human trafficking, worse
living conditions and abusive behaviors (ILO, 2015b: 50). According to the UN World
Youth Report the global number of international migrants aged 15 to 24 was estimat-
ed as 27 mln, that is about one-eighth of the global migrant stock of 214 mln (UN,
2013).
Remedies and policies for youth unemployment. There is no single way to solve the
youth unemployment problem. Policies against youth unemployment should be com-
prehensive, country-specific, and focused on reviving growth and advancing struc-
tural reforms (Banerji et al., 2014: 5). Strong sustainable growth will be crucial to cre-
ate new employment possibilities for all including the youth.
Labor market costs are important determinants for employment decisions.
Therefore, reforms should be adjusted to lower labor costs by reducing tax load and
minimize wage policies (which largely affect youth) in order to increase labor
demand. Policies that provide wage subsidies, reductions in pay-roll taxes and
increased firm incentives to hire young workers are among useful tools in fighting
youth unemployment.
Active Labour Market Policies (ALMP) can help alleviating youth unemploy-
ment. These policies can be adjusted to the transition from school to work through
improved young skills and more work-focused training. The relation between educa-
tion systems and labour qualifications (skills, job specific and technical knowledge)
for firms can be organized by ALMPs. ALMPs consist of entrepreneurship trainings,
career guidance and job search assistance (OECD, 2006).
Youth unemployment problem highly depends on the general unemployment
level. Improving macroeconomic conditions makes the greatest contribution to
employment. In order to solve the unemployment issue, policies must be focused on
the sectors with high employment potential and "youth-friendly" sectors such as
tourism, wholesale and retail trade, manufacturing, hotels and restaurants, ICT,
social services, environmental management (Coenjaerts et al., 2009; Banerji et al.,
2014: 11). Agricultural regulations in rural areas of developing countries may also
reduce youth unemployment by shifting it from subsistence farming towards com-
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ДЕМО ГРАФ ІЯ, ЕКО НОМІК А ПР АЦІ, СОЦІ АЛЬНА ЕКО НОМІКА І ПО ЛІТИ КА
ДЕМ ОГРА ФІЯ , ЕК ОНОМІ КА П РАЦІ, СОЦ ІАЛЬН А ЕК ОНОМІКА І П ОЛІТ ИКА
mercial use (Coenjaerts et al., 2009). Using Internet provides individuals with trade
possibilities to become part of global markets, there for, it can also provide new work
opportunities to youth.
Implementing the dual system which consists of part-time apprenticeship in a
company for the purpose of vocational training and part-time technical education
may help solve youth unemployment problems. This system makes it easy transit
school to work from (OECD, 2006). There is a strong linkage between work-based
training and apprenticeship, and school-based education in this system which is
effectively used by Germany and Japan. Besides school-based vocational education,
it gives the opportunity to developing countries to adjust workers’ skills certified
informally (Coenjaerts et al., 2009).
There are also global institutional efforts to fight youth unemployment. "Call for
action" on youth employment was initiated by ILO at the International Labour
Conference in 2012. This conference call covered first of all:
- increased job creation and providing more financical opportunities;
- changing the education system to ease the school-to-work transition and
reduce the skills’ mismatch;
- focusing on youth employment primarily directly;
- increasing to youth entrepreneurship and self-employment;
- providing standard international labour rights (ILO, 2015b: 63).
The European Commission has launched the "Youth Opportunities Initiative" to
support the unemployed youth by providing funds for apprenticeship and entrepre-
neurship schemes, help with company placements and giving advice for young peo-
ple about their business ideas (Gorlich et al., 2013: 1).
As a consequence of a partnership between the World Bank, the United Nations
and the ILO Youth Employment Network (YEN) tries to develop a comprehensive
global strategy for young people. YEN cooperates with governments in implementing
national youth employment programs. Briefly, youth employment policy should have
the following features:
- it must be harmonious with macroeconomic policies and focus on youth
directly;
- offering fiscal support to developing sectors that can provide more employ-
ment for youth;
- setting link for matching sector/firm needs and youths’ skills;
- targeting school-to-work transition;
- increased spending for higher youth labor market participation;
- better working condition and social protection for young people;
- coordination of finding better jobs for youth (ILO, 2015b: 9–10).
According to Turkish Statistical Institutes data, Turkish labor force was 24.6 mln
in 2014, 2.86 mln people were unemployed. The unemployment rate in Turkey is
9.9% while youth unemployment rate is 18%. In 2009 this rate peaked at 22.9%. So,
unemployment and youth unemployment are indeed serious matters for Turkish
economy. In Turkey, ALMPs are organized by ISKUR (Turkish Labour Employment
Agency – TLEA). A call for action to strengthen the employment and vocational
training was initiated by TLEA back in 2010 already. According to this action, lifelong
learning programs are required for more effective labour market policies that are tar-
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ДЕМО ГРАФ ІЯ, ЕКО НОМІК А ПР АЦІ, СОЦІ АЛЬНА ЕКО НОМІКА І ПО ЛІТИ КА
ДЕМ ОГРА ФІЯ , ЕК ОНОМІ КА П РАЦІ, СОЦ ІАЛЬН А ЕК ОНОМІКА І П ОЛІТ ИКА
geted to reduce unemployment (Ozaydin, 2013: 138). According to TLEA’s 2014
Action report, the number of courses and trainings in the ALMP framework was
33.1 thousand. The total quantity of participants was 220.1 thousand, noteworthy, the
number of male participants was 94.9 thousand, while the number of female partici-
pants was approximately 105.5 thousand. The number of vocational training is
5.3 thousand. The number of total participants is 107.2 thousand (that is 46.8 thou-
sand of males and 60.4 thousand of females). The total number of entrepreneurship
programs is 1.2 thousand (TLEA, 2015).
Conclusions. Unemployment is a problematic issue for many years already and
reducing unemployment is a challenging task for all economies worldwide. As a type
of unemployment, youth unemployment has a special importance. Youth unemploy-
ment is not only related to today, but also to the future. Being unemployed at early
stages of one’s life scares young people deeply and affects all further life. Young peo-
ple are more vulnerable to crisis than adults, the recent global crisis has shown that
recession hits first of all with youth unemployment in all countries. Generally it is
accepted that the main factors of youth unemployment are insufficient production
growth and not enough employment capacities of an economy. Other macrocauses
include insufficient demand, recession and crisis, increases of the youth share in the
total population, demographic factors such as age, being ethnical or religious minor-
ity, gender, deficiency in labour market policies and problems with the education sys-
tem. a mismatch between training systems and labour market is the most problemat-
ic cause of youth unemployment increase.
Increasing youth unemployment rate is a crucial problem because it causes both
economic and social problems. To sum up, it generates loss of resources (human capi-
tal), leads to social unrest, increased crime rate, drug use and mental disorders
(depression, suicide attempts, feeling desperate etc.).
Battling with the problems described above is not easy for governments. Policies
to cope with youth unemployment are complicated. They must be comprehensive,
country-specific, focused on revitalising economic growth and advanced structural
reforms. Beyond the local efforts, global efforts should also contribute to lessening
youth unemployment. ILO, the UN and the World Bank already make some impor-
tant contributions to fighting global youth unemployment such as "Youth
Employment Network" (YEN).
Active labour market programmes (ALMP) are so for the best tools in reducing
youth unemployment. These programmes consist of counselling and guidance serv-
ices, reinforced vocational training and work experience (via apprenticeship and
internship), subsidies for employers, direct job creation by governments and support
for youth entrepreneurship and self-employment.
Well organized school-to-work transition is the crucial point in decreasing youth
unemployment rate. Vocational trainings should be also regulated in accordance with
labour markets’ needs. Dual vocational training system as applied successfully in
Germany, for example can make great contributions to solving youth unemployment
problem. Allocating more budget funds for effective education and vocational train-
ing can also make great contributions to increasing youth employment capacities of
national and regional economies.
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ДЕМО ГРАФ ІЯ, ЕКО НОМІК А ПР АЦІ, СОЦІ АЛЬНА ЕКО НОМІКА І ПО ЛІТИ КА
ДЕМ ОГРА ФІЯ , ЕК ОНОМІ КА П РАЦІ, СОЦ ІАЛЬН А ЕК ОНОМІКА І П ОЛІТ ИКА
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Стаття надійшла до редакції 15.01.2016.
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ACTUAL P RO BL EM S OF ECONOMICS #7(181), 20 16
ACTUAL P RO BL EM S OF ECONOMICS #7(181), 20 16
ДЕМО ГРАФ ІЯ, ЕКО НОМІК А ПР АЦІ, СОЦІ АЛЬНА ЕКО НОМІКА І ПО ЛІТИ КА
ДЕМ ОГРА ФІЯ , ЕК ОНОМІ КА П РАЦІ, СОЦ ІАЛЬН А ЕК ОНОМІКА І П ОЛІТ ИКА
... IEG (2013) also reveals that labour market position of youth differs significantly from adults as youths are more likely to be among the "working poor" than adults, have higher risk of unemployment, underemployment, or working in jobs with low earnings. Similarly, Fatih (2016) opines that youth unemployment rate is approximately three times bigger than that of the adult, and that lack of sustainable decent work makes young people more susceptible to fall below the poverty line. ...
... Youths are also generally perceived as the weakest class of organizational workforce by employers, hence the constant desire of employers to relief them of jobs first; a situation that further aggravates their economic wellbeing and underemployment status. Fatih (2016) supported this position further by arguing that young people are generally affected deeply by economic crisis, because they are the weakest group at the labour market, with their economic conditions far worse than before. With the UN World Youth Report (2013, 20) also stating that "young people in all regions are more likely than adults to be unemployed or work in vulnerable employment". ...
... In this vein, Fatih (2016) posits that youths have special importance for all countries globally, as they are energetic, talented, creative, open-minded, dynamic and with entrepreneurial spirits and as engines for achieving developmental goals, thus youths must be integrated into labour force and economies in order to achieve development goals. Being the fabric and major workforce of any economy, the youths represent a great and diverse pool of talents to any economy if well put to use and well maximized; and, non-maximization of the youth strengths and economic potentials puts a state or nation at the tip of a cliff, and a great danger and great incentive for social disorder. ...
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This study aims at evaluating the impact and effectiveness of Nigeria’s Social Investment Programme tagged N-Power, designed and targeted at addressing youth unemployment and poverty. The population of the study consists of beneficiaries of N-Power programme in the towns of Akute and Ajuwon in Ifo Local Government Area of Ogun State, Southwest Nigeria. Recognizing that the problems of youth unemployment and poverty in Nigeria has become by far the most important social problems in Nigeria, this study takes a look at the impact of Nigeria’s Social Investment Programme tagged N-Power in addressing the scourge of youth unemployment and poverty in Nigeria, and the contributions made by N-Power programme to youth employment and poverty reduction on some beneficiaries of the programme. This study considers theories such as unemployment, poverty, inclusive growth and social exclusion in explaining youth unemployment and poverty in Nigeria. The research methodologies employed are qualitative and participatory approaches. 40 semi- structured questionnaires were administered on respondents in the towns of Akute and Ajuwon. Similarly, two focus group discussions plenary were organized by the researcher in both towns. The results of the research however revealed that the N-Power have recorded some successes in addressing the scourge of youth unemployment and poverty in the towns of Akute and Ajuwon in Ifo Local Government Area of Ogun State. However, beneficiaries also made far-reaching recommendations and policy adjustments to the government on the programme. Keywords: Youth, Unemployment, Poverty, Inclusive Growth, Social exclusion.
... Economic theories indicate that 15% of the capable and searching workforce looks for a real crisis if the government, in cooperation with the private sector and international and civil organizations, does not take practical solutions to confront it [4]. Given the importance of the issue of unemployment and its accompanying repercussions, we chose a specific group of unemployed who are programmers, and we also adopted a mechanism for analyzing data to determine the most important causes and problems that lead to TELKOMNIKA Telecommun Comput El Control  A hybrid analysis model supported by machine learning algorithm and … (Mohamed A. Abdulhamed) 445 unemployment. ...
... where ∑ represents the variance matrix and is expressed by (4). ...
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The problem of unemployment is one of the most important problems faced by most countries of the world, and it is one of the intractable problems in developing countries, and in Iraq unemployment occupies great importance due to its high rates. This problem in itself is a serious condition, because it results from mismanagement and the structure of the economy, and despite its great importance, it has not been carefully monitored. There are studies and strategies that deal with the analysis and study of those causes that lead to this problem, such as traditional statistical methods, various mathematical and statistical methods, in this research proposed a method uses machine learning methods to find the factors that affect the causes of this problem, as well as the multiple linear regression method. This is an open access article under the CC BY-SA license.
... Rapid increases in the NEET rate leave young people in two-pronged desperation, such as unemployment or intentionally moving away from labor markets permanently or inactive (Caroleo et al., 2020), despite policymakers' efforts to create adequate employment potential. The young population of the countries within the study's scope cannot be included in the labor market due to their macroeconomic vulnerabilities such as growth, economic crises and recession periods, education-employment mismatch, temporary and insecure employment, and insufficient qualification (Ayhan, 2016). Most young people who have lost their hope of finding a job turn to secondary labor markets and informal economy or end active job-seeking activities. ...
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This study aims to investigate the impact of macroeconomic indicators on Not in Education, Employment, or Training (NEET) population in Brazil, India, Indonesia, South Africa, and Turkey accepted as Fragile Five countries and Russia 2005-2018 period by using the panel data analysis method. Gross Domestic Product Per Capita (GDP), Inflation Rate (Consumer prices, INF), Adjusted savings for education expenditure (% of Gross National Income, S), Foreign Direct Investment (FDI), HDI index data were used for explaining the NEET for selected countries. The relationship between variables was analyzed using the Panel Data Methods via Fixed-Effects Model. Therefore, according to the findings of Driscoll and Kraay Estimator- One-Way Fixed Effects Model, "HDI, GDP, FDI and S" variables have a statistically significant effect on NEET as the dependent variable. According to findings, while a 1% increase in HDI and FDI respectively give rise an increase of 2.14% and 0.03% on NEET, a 1% increase in GDP, and S resulted in a decrease of 0.77% and 0.38% on NEET. The findings of the correlation matrix of residuals revealed that the correlation between countries was highest between India and Brazil and the lowest between Russia and Indonesia. According to preliminary results requirement for human development indicators and attraction to FDI should be directed to rural areas for reducing the NEET rates in FFC.
... Similarly, Mryyan (2014) indicates that Jordanian youth lack academic and non-cognitive focus, which are important elements of the labor market and the lack of a clear link between education outcomes and the labor market. This result is consistent with the findings of Brown et al. (2014) and Ayhan (2016), who pointed out that demographic factors, gender, and incompatibility between training systems and the labor market, as well as the existence of some problems in the education system, are among the most important reasons that lead to increased youth unemployment. Gurbuzer and Ozel (2009) concluded that the progress in educational levels is not a condition for not falling into unemployment, and although there is no gender gap in educational levels among youth, this gap still exists in the labor market. ...
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Ending the scourge of dual labour markets in Europe
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Saving Europe's Last Generation Of Workers
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Boeri, T. (2009). Saving Europe's Last Generation Of Workers. Project Syndicate.