The Economic Effect Of Unemployment On The Nigeria Economy

CHAPTER ONE

INTRODUCTION

          The advance learners dictionary defines unemployment as the amount of labour unused.   When a factor of production is not doing any job we say it is unemployed.  Furthermore, unemployment can also be seen as the stage where people who are qualified, available, capable and willing to work but cannot find a job to do.   In this project, we are going to concentrate mainly on the effect of unemployment on the Nigeria economy in particular.   Emphasis on labour which is the most important and active factor of production which simply means that without labour all other factors of production, will be regarded as dormant.

 GENERAL BACKGROUND OF UNEMPLOYMENT

          Unemployment is a dangerous phenomenon to an industrialized economy system. Before now, primitive communities in Nigeria were to a large extent self sufficient and had not very low standard of living as the people share the work that has to be done and any spare time was enjoyed as leisure. 

          Nigeria people engage in the production of primary product, though these communities may suffer a general reduction in their production in the world market.

          Often we advocate for industrialization as a penance to unemployment problem, but in as much as that it is true, it is also very important to know that this industrialization coupled with the division of labour and specialization bring along with them this virus problem called unemployment to industrial progress and development.   No wonder it was the leading industrial nations that were the first to introduce schemes of social security.

          This ugly and nerve cracking canker worm which has right from time been reining its disastrous head in blood stream of the general popular of the world has been a thing of concern to great philosopher of economy and great socialist of the Olden days.   This has made them to come out with concepts, ideals, theories and approaches in trying to recommend a drug for this disease known as unemployment.

          Anyaele (1995 : 214) stated that unemployment may be defined as a situation where some people who fall within the age of the working population, capable and willing to work are unable to obtain the fitting work to do.   This work might be skilled or unskilled in nature but the problem is that it is not available at that particular time, at the right place or right source.

1.2            PROBLEM ASSOCIATED WITH THE SUBJECT MATTER

According to Angaele (1995 : 214) he stated that the problem is becoming Chronic without solution being in sight.  It had constituted itself intone of the worst enemies of the popular in this part of the world.  The problem has been exacerbated by the present and retrenchment unbridled by rural urban migration etc.

Unemployment as we have seen is a great problem affected by both rural and urban communities in Nigeria and has resulted to the following problems.

1)                Escalation of Crime Rate:   An aphorism says that an idle mind is the devils workshop and as a result many unemployed involve in such crime as armed robbery, prostitution, smuggling, child trafficking, touting, drug trafficking and drug addiction.  The situation is getting worse everyday because of the increasing number of unemployed.

2)                Waste of Manpower:  Unemployment especially that of graduates wastes the much needed manpower which pulls down and delays the growth of economic development of a nation like Nigeria.