‫اسم المادة (‪)Subject‬‬

‫‪.................................................................‬‬ ‫‪Economics...............................................................‬‬

‫عنوان البحث (‪)Research Title‬‬

‫‪......................................................................‬‬ ‫‪Unemployment............................................................‬‬

‫سيد ‪...........................................................................‬‬ ‫اسم الطالب (رباعى‪ ،‬باللغة العربية)‪... :‬احمد محمد ايمن توفيق‬ ‫‪‬‬
‫‪.............................................................................................................................................. 1012.......‬‬ ‫رقم الجلوس‪:‬‬ ‫‪‬‬
‫‪3‬‬ ‫‪0‬‬ ‫‪1‬‬ ‫‪0‬‬ ‫‪4‬‬ ‫‪2‬‬ ‫‪5‬‬ ‫‪0‬‬ ‫‪1‬‬ ‫‪0‬‬ ‫‪0‬‬ ‫‪2‬‬ ‫‪9‬‬ ‫‪3‬‬
‫الرقم القومــى‪:‬‬ ‫‪‬‬
‫‪..........................................................................................‬‬ ‫الشعبة‪.... :‬برنامج الساعات المعتمدة باللغة االنجليزية‬ ‫‪‬‬
‫‪......2019/2020 ........‬‬ ‫العام الجامعى‪:‬‬ ‫‪‬‬ ‫‪........................................................‬‬ ‫الفرقة‪... :‬االولي‬ ‫‪‬‬

‫جـــزء خـــاص بالكنتـــرول‬

‫(ال يكتب الطالب فيه شئ)‬

‫المراجعة‬ ‫الرقم السرى‬

‫‪..........................................‬‬ ‫‪..........................................‬‬

‫تقييم البحث‬

‫‪..........................................‬‬

‫‪0‬‬
 )ً‫جزء خاص بالكنترولـ (ممنوع الكتابه فيه نهائيا‬
‫تقييم البحث‬ ‫الرقم السرى‬

........................... ...........................

)‫بيانــــــات الطالــــــب (يقوم الطالب بنفسه بملء هذه البيانات‬

................................................................................................. ‫ برنامج الساعات المعتمدة باللغة االنجليزية‬.:‫الشعبة‬

........................................................................................................................................................................ ‫االولي‬.:‫الفرقة‬

................................................................................................................................. 2019/2020............. :‫العام الجامعى‬

................................................................................................................................ Economics. :)Subject( ‫اسم المادة‬
.................................................................................... unemployment.......... :)Research Title( ‫عنوان البحث‬

Unemployment in Egypt

:Introduction

Millions of women give birth to children every day all over the world and the kids -
don’t take a lot of time to start the education process such as going to school, get a
degree, apply for college and spend more than 4 years to finish it they could be lucky
after graduator and Find a job that fits and suits his education and qualification as a
Graduate and it's so difficult for graduate in developing country to find job that keep
up with his qualification and position. Unemployment crisis is a global problem it’s a
huge challenge for any country on the planet. Issue that could be minimized in some
cases but never was absolutely solved, it's always mentioned by academics and
economists and trying to it’s just never enough to find a solution or a policy to get rid of
.this problem
We have faced this issue in Egypt for a long time now There is still more labor force -
than the current sites can handle, in The unemployment rate in 2009 was 9.4%, so who
will take the responsibility ? Government or people or policy maker
This research will answer some questions, what are the types of unemployment, -
indicator about unemployment in Egypt, what are the causes of unemployment, for
example? So why does it continue to grow? And then what’re the policies fix it, some
recommended solutions, some progress
How to measure it? Unemployment is measured as a percentage by dividing the -
number of unemployed by the number of all persons actually working in the workforce.
.The final calculation is called unemployment rate

1
BEFORE WE DISCUSS the indicators, policies, causes of unemployment let’s discuss -
:some important definition of unemployment
Unemployment is a term that refers to people that are employable and want to join a -
job but cannot find a job, In addition, people in the workforce or pool of people who are
available for work who have no adequate job, Unemployment happens when a person
seeks to find work cannot find it, Sometimes, unemployment is used as an indicator of
the economic. The most popular indicator of unemployment is the rate of
unemployment, which is the number of unemployed people divided by the number of
.individuals in the labor force
Lost Incomes and Production a job loss brings a loss of income and a loss of output. -
These losses are devastating to the people who bear them and they make unemployment
a scary prospect for all, Joblessness benefits make a security net, yet they don't
completely supplant lost profit. Lost creation implies lower utilization and a lower
interest in capital, which brings down the expectation for everyday comforts in both the
present and what's to come , Lost Human Capital continuous unemployment adversely
that destroys the work chances of an individual through the loss of human resources
unemployment rate definition : The work force is defined as the number of employed -
persons plus Number of jobless but searching for employment, The ratio of
unemployment is defined as the labor force minus the Majority of individuals that are
officially in employment. The unemployment rate is defined as the unemployment rate
divided by the work force
Labor force are changing because of some variables like natural Population rise, net -
immigration, new enrollment and retirements from the labor force, NE Adjustments in
unemployment are relying on: inflows of non-employed people beginning to find new
jobs and of individual that are employed Leave their work and seek new ones; and the
.outflow of people who find new ones Fresh jobs so that quit searching for a job
In order to be classified as being employed in the Current Population Survey, an -
individual should first ready to work a full-time or part-time job. A individual must be
available for work to be considered unemployed, and need to be in one of three
categories
Without work but has made specific efforts to find a job within the previous four - .
-weeks. -----Waiting to be called back to a job from which he or she has been laid off
Waiting to start a new job within 30 days .
The participation rate is the percentage of people in the labor force Divided by the size -
of the adult no layer sets up (or by any institutional population working age population
that is not legitimized)
The non-labor force includes those who do not search for jobs, those who are -
legitimized such as in jails or mental care, spouses, children and others who serve in the
army
The employment rate is as defined the number of individuals already employed -
divided by the number of adult. In these indicator, self-employed people are considered
as employed

2
The Employment-to - Population Ratio is the number of working-age people who have -
jobs is an indicator of both the job availability and the degree to which people's skills
and jobs match. The employment-to - population ratio represents the percentage of
working-age people who have jobs
:Other definition of unemployment: Marginally Attached Workers -
A marginally attached worker is an individual who actually doesn’t have a job or
search for job but has announce that he or she wants and is available for a work any
time . A marginally attached worker who has stopped to search for a job due to the
frequently of failure to find job it’s called a discouraged worker , The official measure
of unemployment doesn't include directly attached workers because over the past four
weeks, they have not made concerted attempts to find a job. They are still unemployed
in every other respect, the official measure of unemployment doesn't include directly
attached workers because over the past four weeks, they have not made concerted
attempts to find a job. They are still unemployed in every other organization
Most Costly Unemployment: All unemployment is expensive but the most expensive is -
the long-term unemployment resulting from job loss. Individuals still unemployed for a
few weeks and then getting another job hold some unemployment costs But compared
to the costs carried by people remaining unemployed for several weeks, those costs are
relatively low, People who are unemployed because they actively leave their jobs in
order to find new ones, or because they have just joined or try to enter the labor
market, often carry some unemployment costs. So these costs are smaller than those
incurred by people that lose their work and are being pushed back into the labor
market
In these various types of unemployment, the unemployment rate does not discriminate. -
If most of the unemployed are long-term job losers, the situation is even worse than if
they are voluntary job seekers for short-term jobs
Positive effect of unemployment just one positive effects of unemployment are impacts -
on individuals. Avoiding daily commute: A millions of individuals are hating the rush
hour traffic on their way to job. Unemployed ensures no longer getting up early to deal
with heavy traffic
Negative Effects of Unemployment: Not Enough Money: it is one of the individual's side
effects. In the world everything costs money such as food, housing, entertainment. If
there is no source of money, then you need to settle down and give up. If an unemployed
person has a family, then it's hard. There are unemployment benefits, of course, but
they won't pay for extra things to do with your children, including travel to new
.. .locations
Health Issues: it’s another individual negative effect, but it’s very important. Being -
unemployed it leads to depression, nervousness and other health issues, if an individual
actually want to join a job but can't find employment. Pressure and tension can happen,
.causing stress and straining on the body
Economic Issues: When there is no jobs, it contributes to deprivation during -
unemployment. The debt issue will rise, which will lead to economic problems. The state
and the federal governments have to move in during unemployment and pay

3
unemployment benefits. Through charging some of these benefits, the government has
to borrow money to cover the benefits expended in other fields
Social Issues: There are many criminal acts by people who are poor and who live in -
poverty. Increasing unemployment rates lead to increase crime rates. According to the
2016 report in the Journal of Quantitative Criminology, people who are unemployed for
reasons that are considered unacceptable and do not want to pursue job opportunities
.are more likely to engage in crime or robbery
.

:so let’s speak about the indicator of unemployment in Egypt -

Egypt unemployment rate of labor force (the period of (1992-2019))-

elitT trahC
41

21

01

2991 3991 4991 5991 6991 7991 8991 9991 0002 1002
2002 3002 4002 5002 6002 7002 8002 9002 0102 1102
2102 3102 4102 5102 6102 7102 8102 9102

As we notice the highest year of unemployment in Egypt was in 2013, after 2013 the -
level seemed to decrease gradually until we reached the lowest level in 2019

In 1999, the unemployment rate reached the lowest rate, and then It gradually -
returned to increasing in 2013

4
Unemployment rate of youth in Egypt -

elitT trahC
04

53

03

52

02

51

01

0
etad etar

1991 2991 3991 4991 5991 6991 7991 8991 9991 0002
1002 2002 3002 4002 5002 6002 7002 8002 9002 0102
1102 2102 3102 4102 5102 6102 26102 7102 9102

So we notice that the highest unemployment rate is in 2012 with 34.4 then it decreased -
in 2018 to 31 the lowest unemployment rate was in 1999

Unemployment, female (% of female labor force)-

elitT trahC
03

52

02

51

01

0
etar

1991 2991 3991 4991 5991 6991 7991 8991 9991 0002
1002 2002 3002 4002 5002 6002 7002 8002 9002 0102
1102 2102 3102 4102 5102 6102 7102 8102 9102

the highest rate of unemployment of female was in 2004 but the lowest rate was in -
.1992

5
Unemployment, male (% of male labor force)

elitT trahC
21

01

0
etar

1991 2991 3991 4991 5991 6991 7991 8991 9991 0002
1002 2002 3002 4002 5002 6002 7002 8002 9002 0102
1102 2102 3102 4102 5102 6102 7102 8102 9102
-

The highest rate of unemployment of male was in 2013 but the lowest rate was in 2010 -

Labor force participation rate, total (% of total population ages 15+)-

elitT trahC
05

94

84

74

64

54

44

34

24
1 yrogetaC

0991 1991 2991 3991 4991 5991 6991 7991 8991 9991
0002 1002 2002 3002 4002 5002 6002 7002 8002 9002
0102 1102 2102 3102 4102 5102 6102 7102 8102 9102

the highest rate was in 2014 but the lowest rate was in1998-

6
 Causes of unemployment in-
:Egypt
:the causes of unemployment are associated with the types of it-

Frictional Unemployment: The movements in or out the labor force and the business
growth and job loss processes generate the need for people to apply for work and for
employers to look for employees. Firms generally do not accept the first person who is
applying for a position, and the unemployed generally do not take the first work they
are going to do, Instead, both companies and employee’s waste hours looking for what
they think is the best match available. Through this selection process people will fit their
own skills and preferences with the jobs available and find a suitable job with a good
income, the unemployment resulting from the normal labor turnover that we've already
explained — from individuals entering and exiting the workforce, and from the
continuing creating jobs and decimation — is called frictional unemployment. Within a
dynamic, rising economy, frictional unemployment is a persistent, stable and safe
.phenomenon

Structural Unemployment: it's that unemployment that occurs when technological

changes or global tournament change the abilities order to accomplish jobs or modify
job locations is called structural unemployment, Structural unemployment typically
lasts more than frictional unemployment, because employees need to learn new skills
and likely move to find work, If a steel plant is operated in Gary, Indiana, some jobs are
taken in that town

Lost. Meanwhile new positions are being developed in Chicago and Indianapolis for
security officers, financial team, and life-insurance salespeople, for several months the
unemployed former steelworkers stay unemployed until they transfer, retrain have one
of those jobs. Structural unemployment is stressful, especially for older workers for
whom early retirement or lower-skilled, lower-paying employment may be the best
.;..available option

cyclical Unemployment: The higher than ordinary joblessness at a business cycle -

trough and the lower than typical joblessness at a business cycle top is called repetitive
joblessness. A laborer who is laid off on the grounds that the economy is in a downturn
and who gets rehired a few months after the fact when the development starts has
encountered repetitive unemployment

Natural” Unemployment: it’s the type of unemployment that arise because of frictions “-
and structural, where all the unemployment is structural and frictional. Natural
unemployment is called the natural unemployment rate, as a percentage of the labor
force

Full employment is defined as a situation in which the unemployment rate equals the -
natural unemployment rate , The natural unemployment rate is influenced by several

7
factors but the most important ones are ■ The age distribution of the population ■ The
scale of structural change ■ The real wage rate ■ Unemployment benefits

The Age Distribution of the Population: An economy with a youthful population has an
enormous number of new position searchers consistently and has an elevated level of
frictional unemployment. An economy with a maturing population has less new position
searchers and a low degree of frictional unemployment

there are another causes of unemployment nor the types-

Low level of education: Low education levels is a major cause of unemployment. The
higher educated people are, the quicker to find a job because there is also a high
demand for well qualified candidates. In comparison, if people lack adequate
qualifications, these people are at high risk of unemployment because businesses also do
not want to hire them, Based on the level of competition and the economy's
macroeconomic outlook, a lack of education will create huge problems in getting a good
work

-Mental issues: Mental health issues can also be a reason for unemployment.
People who suffer from mental problems will often have no motivation or also not the
ability to apply for jobs in a proper manner, These people sometimes have troubles to
concentrate on, that also makes it even more difficult because, even though they find
another job, they may be difficulties not getting fired, as their quality of work may be
very poor due to these problems of concentration.
-Physical health problems; Physical health problems can also lead to a higher
probability of joblessness. Also people with disabilities may find it hard to find a job, so
businesses often refuse to hire people with disabilities , if you're suffering from other
serious health problems like chronic illnesses, employers might not have to hire you
because they're worried about that you'll always get sick and not an efficient and
effective worker.
general discrimination-
In certain nations, there is gender gap among people. Ladies are frequently not
rewarded similarly contrasted with men, which likewise converts into critical more
regrettable employments possibilities. In addition, in certain societies, ladies are
intended to remain at home and deal with the children as opposed to seeking after a
profession, which further builds the danger of joblessness since organizations may not
.be keen to utilize ladies in these areas
Homelessness if you are homeless, the chances of finding a job are relatively small -
because you will not have a valid registered address, which means that interaction
between you and potential employees can be very difficult. , many companies keep away
from hiring homeless individuals because they feel afraid that these people will not be
able to conduct but because of mistakes the company may lose money

8
burnout :People who have actually ended up working in mentally demanding jobs but -
who are suffering from burnout will now have trouble for finding another job because
of their psychological illnesses. Burnout is a very big issue particularly in our present
society

One of the most reason of unemployment in Egypt is population: the population are
continuing in increasing every day, because of population sometimes companies make
some proportion and discrimination and it lead companies to reject a lot of people that
want to join and work with them, the unemployment usually reduce the self-respect on
.individual

The education system still plays an important role in issues linked to unemployment. -
Subjects taught at school, college or university that are not consistent with or irrelevant
to the current work requirement standard , There is a gap between required skills on
the labor market and skills offered by Egyptian education system. There is an enormous
gap between what the students are studying and what job requirement , Schools teach
some materialistic subjects and maybe they only run back to get high marks without
really understanding the subject itself. Most highly qualified individuals are unable to
handle employment and many students are unable to find jobs that correspond to their
studies , The rate of unemployment problems among educated men is much higher than
aim and objective, and the situation is getting much worse as 25 percent of youth are
unemployed, that leads to dissatisfaction, criminality in society, that lead to a significant
rise in unemployment , The main dependency of any country's development is on
education and scientific study. There are many explanations for this in Egypt's
education system at a critical juncture, such as cost-saving measures that affect
education quality, lack of adequate teaching training, low wages for teachers that allow
them to offer private lessons to students , Such an educational system motivates them to
write down rather than think creatively, this educational system doesn't really support
people to improve their personalities, it does not teach them how to be independent
learners, how to be creative and think more effectively and how to develop

policies that Egypt used or some recommendation to reduce the -

:rate of unemployment in Egypt
:There are many options for reducing unemployment rates but the perfect one is
Establishing a huge number of mills, factories, industries which make a strong number
of employment opportunities only 10 % of the area is used for living, agriculture and
another 90 percent is useless, there had to be a big shift in education system. The
technical, vocational and advanced education should be given more priority. The
educated youth are expected to improve attitude towards life. We have to learn how to
think not what to think, and choose independent profession. Self-employment is the only
solution to this big dilemma and even job perfect solution. If wealthy people in Egypt
wanted to invest half of their wealth in Egypt’s growth, the unemployment rate will fall
half so that government needs to create new rules and policies to attract wealthy people
and investors and feel confident investing in Egypt. Students can do their internships at

9
prestigious firms before graduating from university, whereby young people can develop
their opinions and improve their competitive qualities.
-. Reduce the strength of trade unions. If unions can negotiate for wages above the point
of market clearing, real wage insecurity would result. In this case it would help to
address this real wage inequality by reducing the power of labor unions (or rising
minimum wages).
-Employment subsidies. Companies could get tax breaks or subsidies to take on long-
term unemployed people. It helps to give them more faith and experience on the job. It
will be very costly, however, and it can cause businesses to simply replace existing
employees with long-term unemployment to profit from the tax cuts.
-Boost efficiency in labor market. Higher structural unemployment rates in Europe are
argued to be restrictive labor markets, which in the first place discourage firms from
employing workers. For example, it can promote more job development by eliminating
maximum working weeks and making it easier to recruit and fir staff. However,
increased flexibility in the labor market could lead to an increase in temporary jobs and
to increased job insecurity.
-The geographical mobility has improved. In certain regions the unemployed are also
more concentrated. The government could offer tax breaks to firms which set up in
depressed areas to address this geographical unemployment alternatively, they can
provide financial assistance to jobless workers moving to high-employment areas
-maximum working at week. A maximum work week of (for example 35 hours) has
been suggested would result in firms needing to hire more workers and reduce
unemployment. A maximum working week, however, may increase the cost of a firm
and therefore they are not willing to hire more. There is also no certainty that a firm
will respond by employing more to a cut in hours – they can try to increase
productivity. Those with misconduct will still face the same problem.
-conclusion
-Unemployment in Egypt is a serious sin. Although the citizen's important right to get a
job according to their qualifications. There's not enough work for everyone, however, so
huge numbers of people without a job cause a lot of problems. The number of
unemployed people is increasing day by day and situation is getting much worsen.
Overpopulation, undeveloped and poor education system, corruption, government
policy etc. are the key reason for unemployment so that unemployed people spend
unhappy lives without jobs. So Egyptian economy is affected, Culture, and hardly any
society. Many approaches such as the reclamation of deserts, the construction and
reform of the textile industry, the postponement of privatization to the company had
done but nothing was very successful. So new solution like establishing a large number
of mills, factories, industries and changing education system and youth motivation must
be required to reduce unemployment rate in Egypt.

10
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