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Youth unemployment in Europe and the world: Causes, consequences and solutions

Author

Listed:
  • Görlich, Dennis
  • Stepanok, Ignat
  • Al-Hussami, Fares
Abstract
The recent Employment and Social Developments report by the European Commission has drawn a bleak picture of the economic situation in Europe. Unemployment levels are on record-highs, household incomes have declined, and risks of poverty and social exclusion have risen, most notably in Southern and Eastern Europe. The group of young adults faces a particularly high risk, as long-term unemployment rates of this group have increased in many countries, and skill mismatch has become more severe. However, youth unemployment is not only a European, but a global issue, with varying levels of severity across countries. The causes of youth unemployment also vary by country, and so do the solutions. Given the long-term risks of extended unemployment spells, the importance of tackling youth unemployment can hardly be overestimated. Youth are the potential and future of every country and governments with a long-term vision for welfare and development in their countries are concerned with the best ways to integrate the young people into the labour force. The topic has been receiving media attention and has been discussed in many business and policy forums. In the European Union, youth unemployment currently ranks very highly on the policy agenda. The European Commission has recently launched the Youth Opportunities Initiative in order to support unemployed youth. The aim is to supply funds for apprenticeship and entrepreneurship schemes, help with company placements and provide advice for young people with business ideas. This Kiel Policy Brief aims at introducing the reader to the topic of youth unemployment. After defining youth unemployment, it provides an overview on the extent of youth unemployment around the world, discusses some of the main reasons for, and consequences of youth unemployment, and concludes with a few solutions for how to reduce it.

Suggested Citation

  • Görlich, Dennis & Stepanok, Ignat & Al-Hussami, Fares, 2013. "Youth unemployment in Europe and the world: Causes, consequences and solutions," Kiel Policy Brief 59, Kiel Institute for the World Economy (IfW Kiel).
    • Handle: RePEc:zbw:ifwkpb:59
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    References listed on IDEAS

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    2. Mukherjee, Dipa & Majumder, Rajarshi, 2023. "Youth employment in India: dimensions and challenges," MPRA Paper 120105, University Library of Munich, Germany.
    3. Andrés Ham & Darío Maldonado & Carlos Santiago Guzmán-Gutiérrez, 2019. "Tendencias recientes en la situación laboral de los jóvenes en Colombia: diagnóstico, desafíos y retos de política pública," Documentos de trabajo 17569, Escuela de Gobierno - Universidad de los Andes.
    4. Gustavo Adolfo García & Diego René Gonzales Miranda & Oscar Gallo & Juan Pablo Roman Calderon, 2020. "Millennials and the gender wage gap: Do millennial women face a glass ceiling?," Documentos de Trabajo de Valor Público 18409, Universidad EAFIT.
    5. Uma Murthy & Paul Anthony Mariadas, 2017. "Factors Affecting Fresh Graduate Bankruptcy at Young Age: The Case of Fresh Graduates in Kota Damansara," International Journal of Business and Management, Canadian Center of Science and Education, vol. 12(12), pages 194-194, November.
    6. Zethembe Mseleku & Sibusisiwe Nyawo, 2024. "Local Government Internship: Opportunity or Exploitation?," Academic Journal of Interdisciplinary Studies, Richtmann Publishing Ltd, vol. 13, March.
    7. Vespignani, Joaquin L. & Yanotti, Maria Belen, 2020. "COVID-19 and Tasmanian Youth Unemployment: A Policy Recommendation," MPRA Paper 101158, University Library of Munich, Germany, revised 2020.
    8. Luisa Natali & Bruno Martorano & Sudhanshu Handa & Goran Holmqvist & Yekaterina Chzhen, 2014. "Trends in Child Well-being in EU Countries during the Great Recession: A cross-country comparative perspective," Papers inwopa730, Innocenti Working Papers.
    9. Chiara Mussida & Dario Sciulli, 2023. "Being poor and being NEET in Europe: Are these two sides of the same coin?," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 21(2), pages 463-482, June.
    10. Glatt, Jordan & Wunnava, Phanindra V., 2016. "Help Not Wanted: The Dismal Science of Youth Unemployment's Scarring Effect," IZA Discussion Papers 10069, Institute of Labor Economics (IZA).

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