Methodological Basis of Unemployment

Abstract

The main objective of any macroeconomic policy is to achieve a steady economic growth with a low unemployment rate. Unemployment is one of the main (if not the most important) socio-economic problem in the Balkans and some country in EU, Unemployment is the most drastic form of social inequality. Unemployment has serious consequences for social and economic stability. Unemployment, as a general socio-economic phenomenon, for a longer time, is present in all countries of the world, regardless of the level of development and their socio-economic adjustment. Currently, the goal of each country is to achieve a sustainable economic development, which requires the achievement of a steady economic growth. One of the prerequisites for economic growth is macroeconomic stability. Among the different opinions from different schools about macroeconomic stability, the main indicator of macroeconomic stability is economic growth and unemployment. In order to provide scientific work descriptions with elements of scientific classification in understanding the problem of unemployment with a parallel approach to employment policy, with this work scientific aims to analyze relevant indicators of unemployment, the phenomenon of social (insecurity) as the root cause of unemployment, and thus determine the correlation between unemployment and economic development on the one hand, while on the other hand it aims through classification to enable finding the cause of the phenomenon of unemployment. Regardless of the situation, basically all policies, including macroeconomic, infrastructure and other sectoral policies, have different social and distributional effects that need to be accurately understood and translated into fair, participatory, and non-discriminatory policies that ensure greater formal employment. and better, and thus ensures a higher level of security quality in securing livelihoods and increasing the income of the insurance system, social protection and for the promotion and realization of social inclusion. Unemployment is one of the most difficult economic problems, as it creates an income deficit, a situation that results in inequalities and stratification in society. Sociological and economic studies emphasize that employment is not only the most important determinant of the position of people in every country, but is also important for creating meaning, income, social stability and quality of life and a condition for participation in social activity. Unemployment which in fact will be the focus in the elaboration of this paper, then the analysis of the types of unemployment, analyzing the main reasons for unemployment. The main policies, their impact on reducing high and persistent unemployment, and finally the link between unemployment and economic growth.