Unemployment in Vietnam

Tutor: Mrs. Trang LeStudents: Nguyen Thu Hanh

Nguyen Cao KyDo Ha ThuNguyen Minh Duc

Causes and Effects of Unemployment in Viet Nam

• Theory

• Overview

• Causes

• Effects

Theory

Overview• Unemployment rate relatively low (2.1% in January 2015)

• Anyone who can find a job that meets their basic needs is

classified as employed

Unemployment rate in reality much higher

• In 2015, there has been more than 52.5 million people in workforce

• The unemployment rate in urban area: 3.17%• The unemployment rate in rural area: 1.75%

• The unemployment rate among highly-qualified people accounts for 4.39%

• Group from 20-24, unemployment rate is 20.75%

Causes

Frictional unemployment

• New graduators and migrant workers hope for high-salary jobs

Unemployment policies

Structural Unemployment

• Trendy education Unbalance

• Urbanization & Increase in industrial areas

Cyclical Unemployment• Seasonal Jobs• Economic crisis in 2008

Effect

• Economic

• Social

• Unemployment not always bad

Economic

• Lack of Income

Prevent Economic

development

• Unsustainable

growth Less

Foreign Investment

Social

• Negative emotions

Health Problems + Violence

• Crime

Unemployment not always bad• Inversed relation between Unemployment and

Inflation in short run

• Raise competitiveness among employees Higher

productivity and profit

Summary• Unemployment Theory

• Overview

• Causes

– Frictional Unemployment

– Structural Unemployment

– Cyclical Unemployment

• Effect

– Economic

– Social