Impact of Unemployment on Economic Growth: A Malaysian Perspective

This report examines the impact of unemployment on Malaysia's economic growth. It begins with an introduction to Malaysia's demographics and economic indicators, including unemployment and GDP per capita. The content section delves into the current state of unemployment, analyzing historical data, age group demographics, and the impact of education and income levels. The report explores the drivers of Malaysia's economic growth, such as domestic demand and foreign direct investment, while also addressing the potential negative impacts of unemployment, including social unrest, brain drain, and reduced consumption. It suggests policy recommendations, such as transforming the national education system, enhancing vocational training, developing social security, and implementing active labor market policies and employment insurance schemes to mitigate unemployment and foster sustainable economic growth. The report concludes by emphasizing the need for immediate measures to control unemployment to safeguard Malaysia's long-term economic prospects.