Unemployment In Kenya Essay

Unemployment Unemployment is referred to those people who are in the labor force had tried to search for job in the past four weeks but they cannot get a job. There are three types of unemployment which is frictional unemployment, structural unemployment, and cyclical unemployment. There are the reasons such as the rapid change in technology, recessions, inflation, and undulating business cycle and so on cause unemployment. The measurement for unemployment is unemployment rate which is the percentages of number of unemployed people divided by the total labor force. According to journal of Neville Otuki, Kenya, East Africa’s biggest economic, holds the dubious distinction of being the country with the largest number of unemployed youth

Mass unemployment continues to deny Kenya the opportunity to put its growing labor force to productive use, thereby “denying the economy the demographic dividend from majority young population”, a World Bank report said. World Bank economists said the problem is mainly compounded by the fact that Kenya’s ability to create new jobs has lagged behind population growth, resulting in narrow formal opportunities, especially for entry-level workers fresh from college. Which fall on structural

Central banks attempt to limit inflation, and avoid deflation, in order to keep the economy running smoothly. In the effect of inflation, the purchasing power of a unit of currency falls. For example, if the inflation rate is 10%, then a pack of gum that costs $1 in a given year will cost $1.10 in the next year. As goods and services require more money to purchase, the implicit value of that money will falls as well. There are two types of inflation which are demand pull inflation and cost push inflation. Demand pull inflation will occurs when the economy grows quickly and starts to overheat .Cost push inflation will occurs when there is a rise in the price of raw materials or higher