Unemployment: Where is it Going?

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Unemployment: Where is it Going?


Mohamed Abdel Raouf

SID: 900-00-1018

Course: ECLT 113

Instructor: Dr. Magda Amin

Section: 02

Paper #3 – Draft #4

Unemployment: Where is it Going?

Unemployment, due to overpopulation and increasing privatization, is causing economic and social instability in Egypt.

  1. Unemployment is caused by many problems in Egypt.
  1. Privatization may be considered a major cause of unemployment.
  2. The rapid increase in Egypt’s population is another cause.
  1. Overpopulation increases the percentage of the unemployed workforce: Egypt has high birth rates which is equal to 2%.
  2. Another danger is privatization
  1. Private sector was considered a risk in our grandparents’ age.
  2. Economic changes have led to private sector jobs becoming more promising and more appealing.
  3. The privatization program aims to strengthen the Egyptian economy, although it is a main cause of the rise of the unemployment rates.
  4. The private sector jobs don't supply sufficient jobs to the Egyptian labour market, as the government was supplying more jobs.
  1. The government is trying to find a solution.
  1. Birth control program, which appeared to be a failure.
  2. Making new laws to protect the workers in the private sector, as not to be dismissed.
  3. The privatization program must be slowed down in order to decrease the rapid increase rate of the unemployed workforce.
  1. The solution may be found in the new projects.
  1. Toshka may offer a great number of jobs that will decrease the number of unemployed force.
  2. The desert reclamation project.

ECLT 113                                                         Mohamed Abdel Raouf

Paper #3: Research                                         900-00-1018

Unemployment: Where is it Going?

        Unemployment is the cause of many problems such as the increase in the rates of poverty and the increase in crime rates in the world. The joblessness problem is a problem that is threatening every working person in the whole world. For instance, in Britain, the "policy debate has been galvanized by the spread of unemployment – and feelings of job insecurity – beyond the traditionally affected blue-collar occupations to white-collar workers and those employed in managerial and professional grades” (Philpott 1). That means that the unemployment problem threatens every working person from the high class of workers like professionals and managers to the lowest class as peasants. Privatization and overpopulation are two of the major causes of unemployment in Egypt as they increase in the rate of the labour force without an increase in the amount of the offered jobs in the job market. Overpopulation increases the burden on the government to find jobs for people, but the government cannot offer these large numbers of jobs due to the rapid increase in overpopulation and due to the privatization policy that the government has started. This privatization program, or as the government calls it “The Economic Reform and Structural Adjustment Program (ERSAP)” (El Fiqi 1), has been carried out by the government in order to reform the structure of the public sector. However, privatization turned to be one of the major causes of the rapid increase in the rates of unemployment.

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        Overpopulation in Egypt is a cause of unemployment because it increases the percentage of the labour force that is seeking jobs in the job market. According to the International Finance Corporation, the rapid population growth in Egypt has “endowed Egypt with a large and young population” (Egypt 1), and even though population growth has slowed down in Egypt in the recent years, the labour force continues to expand. Overpopulation is a great menace that threatens the Egyptian society by the great increase in the unemployed labour force. According to a research made by the International Finance Corporation, the Egyptian population ...

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