Determinants of Youth Unemployment in the Democratic Republic of Congo: An Empirical Analysis from 2001-2020

Nakuno BALEMBA

doi:10.18535/ijsrm/v10i6.em02

Abstract

This article examines the determinants of unemployment in the DRC. The reduced nature of the sample, namely one country, is explained by the availability of data covering the period 2001-2020.The model inspired by the empirical literature is estimated by the ordinary least squares (OLS) method. After estimates by the OLS method, our econometric results reveal that the variables education, inflation, direct investment abroad, the population significantly explain the level of youth unemployment at the threshold of 1% and 5%. Education and foreign direct investment tend to increase the unemployment rate while population growth and inflation tend to reduce the unemployment rate. Our analysis of the determinants of unemployment appears to contribute to the literature on several levels. First, because few studies exist on the subject in the Democratic Republic of Congo. Compared to existing work, our study goes beyond methodologically by relying on more robust techniques such as ordinary least squares (OLS) and instrumental variables. Finally, the article will serve as an interpellation and awakening of the consciences of political actors on the intolerable degree of unemployment in the context of the DRC, and will refer to it when necessary in political or economic decision-making.

Keywords

UnemploymentOLSEducation

References

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[refR-1] Abugamea G, (2018), Determinants of Unemployment: Empirical Evidence from Palestine, Munich Personal RePEc Archiv, 1-11Google Scholar ↗

[refR-2] Adil H., 2015, Important Theories of Unemployment and Public Policie, Journal of Applied Business and Economics vol. 12, 1-11Google Scholar ↗

[refR-3] Andrea B., Romain D., 2006, LES DÉTERMINANTS DU CHÔMAGE DANS LES PAYS DE L'OCDE : UNE RÉÉVALUATION DU RÔLE DES POLITIQUES ET DES INSTITUTIONS, Revue économique de l'OCDE, 7-96Google Scholar ↗

[refR-4] Asma R., d Fareeha Z., 2018, Determinants of unemployment in less developed countries, EDP Sciences, https://doi.org/10.1051/shsconf/20184801015DOI ↗Google Scholar ↗

[refR-5] Bechir N.,2016, DYNAMIC Relationships between corruption and youth unemployment : empirical evidences from a system Gmm approch, policy research working paper, 1-23Google Scholar ↗

[refR-6] Bennion E., (1943), Unemployment in the Theories of Schumpeter and Keynes, The American Economic Review , Vol. 33, No. pp. 336-347.Google Scholar ↗

[refR-7] BÉRAUD A.,(2008), La place de la notion de chômage involontaire dans la théorie keynésienne de l’emploi, 12ème Colloque international de l’association Charles Gide pour l’étude de la pensée économique, Orléans, France. pp.277-290.Google Scholar ↗

[refR-8] Diane T., Vincent V., (1982)Le chômage des jeunes au Québec : un petit tour d’horizon, International Review of Community Development Revue internationale d’action communautaire, 33–42.Google Scholar ↗

[refR-9] Isdhani N., Roy P., Syifa R., Yusuf Y. , Rani N.,2020, Determinant Analysis of Open Unemployment Level in Banten Province, 2018 Using Panel Data Regression, Business Economic, Communication, and Social Sciences), Vol.2 No. : 191-201Google Scholar ↗

[refR-10] Issofou N., 2015, Caractéristiques et déterminants du chômage des jeunes au Cameroun: le rôle prépondérant du diplôme et du sexe, revue africaine de développement, Vol. 27, No. 4, 2015, 443–455Google Scholar ↗

[refR-11] Makouezi, C. et Ngobila, R. (2022) Déterminants de l'employabilité des jeunes au Congo. Lettres d'économie théorique, 12, 343-370. doi : 10.4236/tél.2022.122018. »DOI ↗Google Scholar ↗

[refR-12] Iva T., 2018, Les déterminants du chômage des jeunes en Europe: facteurs économiques et autres causes, Revue internationale du Travail, vol. 157, no 3.Google Scholar ↗

[refR-13] MUHAMMAD S., TAHIR M., ABDUL S., BHALL M., Determinants of Unemployment: Empirical Evidences from Pakistan, Department of Economics, University of the Punjab, Vol. 51, No. 2 (Winter 2013), pp. 191-208.Google Scholar ↗

[refR-14] Nur F., 2018 , Determinants of Unemployment in Regency/ City in Special Province Yogyakarta, European Research Studies Journal Volume XXI, Special Issue 3, pp. 367-38Google Scholar ↗

[refR-15] Olivier C., 2005, éducation et chômage dans les modèles d'appariement : UNE REVUE DE LITTÉRATURE, La Documentation française « Économie & prévision » pages 73 à 103Google Scholar ↗

[refR-16] Robert M., 1980, On Theories of Unemployment, The American Economic Review , Mar., 1980, Vol. 70, No. 1 pp. 1-11Google Scholar ↗

[refR-17] Seghiar S., 2014, LES JEUNES, LE CHÔMAGE ET LA VALEUR DU TRAVAIL, carin info, 256-265Google Scholar ↗