1.2 Discuss Three Ways In Which Entrepreneurship Can Help To Combat Unemployment

Question 1

1.1 Explain the term ‘’ unemployment’’? Unemployment is regarded as a situation where people who are of working age cannot find a job. The unemployment rate is calculated by dividing the number of people who do not have jobs by the number of people who are working.

1.2 Provide two entrepreneurial skills that should be taught from an early age according to the author of the article.

• The education system needs to enhance critical thinking and creativity. The author mentions that we could incorporate useful techniques in our system that will encourage

Problem solving from an early age.

• The author also suggests that everyone has potential and that we need to be taught how to tap into it and unleash it.

1.3 Explain four strategies to overcome unemployment.

• To encourage entrepreneurship. People must be motivated to open and

Today a lot of emphasis is on academic degrees. More people will therefore have hands on training. Educational pattern should be completely changed. Students who have liking for higher studies should be admitted in colleges and universities. Emphasis should be given on vocational education.

1.4 Discuss three ways in which entrepreneurship can help to combat unemployment and improve the economy of South Africa.

• An entrepreneur is self-employed and has created a job opportunity for himself thereby lessening the level of unemployment.

• Entrepreneurs eventually expand their business and employ other people thus combatting unemployment.

• When an entrepreneur is making a product, he requires raw materials from other companies thus creating job opportunities in those companies .New skills are also needed for new products and this opens up the job market for scarce skills.

• The employment of all these different groups of people implies that more tax will be collect which has a positive effect on the economy. These people will also have more money to