Record Youth Unemployment Threatens China's Stability and Global Trade
-
Youth unemployment in China hit a record 21% in May 2022, up from 15.4% two years prior. This is compared to 7.4% youth unemployment in the US.
-
There is a major mismatch between the jobs open in China and the services jobs that educated youth want. China's government is investing in unproductive sectors.
-
Prolonged lockdowns and economic downturns have created disenchantment among Chinese youth, dubbed "full-time children" who stay home.
-
If China's growing number of college grads remain unemployed, it could hurt productivity and export opportunities for US companies who rely on China.
-
High youth unemployment threatens to destabilize China at a time when its economy is already shaky, which could create global trade and supply chain disruptions.