Youth Unemployment in Emerging Economies:
Is There Role for Macroeconomic Policy? New Evidence in the Case of Indonesia
- 10.2991/assehr.k.210212.097How to use a DOI?
- job creation, macroeconomic analysis, youth unemployment
The 1997 Asian financial crisis and the recent global financial crisis affect labour market outcomes significantly, particularly for emerging economies such as Indonesia. However, twenty years after the crisis, with economic recovery on its way, job crisis on the vulnerable groups of the labour market has not yet fully recovered, especially young people. The occurrence of this issue is also inextricably related to other critical concerns in social well-being and economic problems, and it is for this rationale that the analysis of youth unemployment, and the development of relevant policies to generate productive employment, is of great importance. In regard to this, Government of Indonesia seems to be focus to a structural and supply-side view of youth unemployment derived from lack of appropriate skills as well as “wage-push” orthodoxy. There has indeed been much work done on tackling youth unemployment issue from supply-side perspective. However, there is a lot still to be gained with respect to demand-side approach by taking macroeconomic analysis on youth labour market outcome, and it is from this angle that I aim to contribute to the Indonesian youth unemployment debate. This research will attempt to develop an alternative way to understand the youth unemployment issue in Indonesia, one that considers the current labour situation as the reflection of a demand-constrained economy. Using a Keynesian account in which aggregate demand holds back output and employment growth, this research hopes to develop a more analytically persuasive understanding of the drivers of poor youth employment outcome and that proposes an alternative framework in the macroeconomic policy within the Post Keynesian approach. Such analysis will enable governments to understand the extent to which changes in the macroeconomic policy environment can improve job creation and employment outcomes for young people.
- © 2021, the Authors. Published by Atlantis Press.
- Open Access
- This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).
Cite this article
TY - CONF AU - Eva Lathifah Ali PY - 2021 DA - 2021/02/12 TI - Youth Unemployment in Emerging Economies: BT - Proceedings of the 4th International Conference on Research of Educational Administration and Management (ICREAM 2020) PB - Atlantis Press SP - 468 EP - 476 SN - 2352-5398 UR - https://doi.org/10.2991/assehr.k.210212.097 DO - 10.2991/assehr.k.210212.097 ID - Ali2021 ER -