An analysis of youth unemployment and entrepreneurship in the world today

Abstract

Subject. We consider the unemployment and entrepreneurship among young people. Objectives. The aim of the study is to identify causes of youth unemployment and entrepreneurship in the modern world pattern. Methods. The study rests on a holistic approach, using the methods of statistical analysis and cluster analysis. Results. We specify the essence of youth unemployment, reveal the growth of unemployment in low- and middle-income countries, which is a driver of youth entrepreneurship. The problem of unemployment in low- and middle-income countries is addressed by shifting priorities from reducing the unemployment to increasing the employment. The high level of unemployment among young people prevails in developed countries with a high share in GDP and industrial output. First of all, this is due to the need to obtain a high level of education and qualifications for high-tech sectors of economy. Limited educational opportunities in low- and middle-income countries are not an obstacle to self-employment and entrepreneurship. The findings clarify the ontology of youth unemployment and entrepreneurship in the modern world, creating new competencies in relation to the public policy aimed at unemployment reduction. Conclusions. The specifics of youth unemployment and entrepreneurship in the modern world is associated with consistently high indicators of poverty level of the working youth, which depends on gender characteristics. High unemployment is observed among young people, both men and women, however, the employment among male youth is significantly higher.