Determinants of Youth unemployment in Developing Countries: Evidences from Tanzania

Abstract

The aim of the study was to examine the factors which determine youth unemployment in Tanzania and suggest way forward towards reduction of the problem. The study uses Multinomial logistic regression model (MLM) to analyze the determinants of unemployment in Tanzania. The findings of the study show that gender, geographical location, education, skills and marital status are all significant factors in explaining the difference in youth employment status in Tanzania. From the findings the study several recommendations are made, first, the government and policy makers should review job market laws and regulation in order to promote a smooth transition of youth from education to job market. The government should create specific interventions especially in the creation of more formal jobs and strengthening job market regulation relating to youth people to ensure that all youth with education or skills realize their investments in education and contribute to the country development. The study also recommends that the government and policy makers should strengthen the laws and regulation relating to gender balance in the job market in order to give equal chance to the youth with the same level of skills or education.

Keywords: Youth unemployment, Developing countries, Tanzania