dc.description.abstract | Despite numerous interventions by government and development partners, youth unemployment has
remained an intractable challenge in Kenya. The “youth bulge” and attending challenges of
unemployment resulting in social evils and political violence (rioting, civil war and terrorism) are
overwhelming. This study therefore analyzes the economic determinants of youth unemployment in
Kenya from 1979 to 2012 by investigating empirical relationship among youth unemployment, gross
domestic product, population, foreign direct investment, and external debt. It is hypothesized that
these factors have a long-run relation and effect on youth unemployment rate in Kenya’s economy.
The study used Autoregressive Distributed Lag (ARDL) to test the economic determinants of youth
unemployment. At 5% significance level, empirical results indicate that population; gross domestic
product, foreign direct investment, and external debt are significant economic determinants of youth
unemployment in Kenya in the long-run. | en_US |