Unemployment is total number of able men and women of working age seeking paid work and it is one of the several socio-economic problems prevailing in virtually all countries of the world. It has been long one of the several features of the urban phenomenon in many countries though some countries have suffered the worse rate of unemployment than others.
Today, in most of the developing countries the problem of unemployment is a central concern of development; and more recently the discussion has focused on unemployment in urban sectors. Many urban centers in developing countries are challenged by high rates of unemployment. Moreover, despite the huge unemployed labor force, urban centers of these nations experience high rate of rural-to-urban migration, exacerbating the unemployment problem of urban …show more content…
The concern is whether there should be substantial growth in job creation in urban areas to absorb new labor market demands. This calls for a careful study of the current urban unemployment and labor market situation, efforts being done towards employment creation and the challenges towards those efforts. (Fitsum, 2014).
Nowadays, there are multi dimensional problems like extreme poverty, unemployment, low per capita income, and unequal income distribution facing in many developing countries. As a result, different governments are framing different strategies and policies to create job opportunities and to pull these countries out of their problems. One strategy as to create jobs and accommodate maximum number of citizens has been emerged, i.e., the establishment of MSEs (Ermias,