American International Journal of Research and Innovation

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Entrepreneurship as a Pathway to Youth Employment

Author(s) Sheerad Sahid
Country United States
Abstract Youth unemployment represents one of the most critical socio-economic challenges facing both emerging and developed economies. Traditional formal labor markets increasingly fail to absorb expanding youth demographics, leading to underemployment, economic marginalization, and lost productive potential. This study develops an integrated conceptual framework and simulation model to evaluate entrepreneurship as a structural pathway for youth job creation and sustainable economic empowerment. Grounded in Schumpeterian Innovation Theory, Human Capital Theory, and Institutional Theory, the paper establishes a composite Youth Entrepreneurship Ecosystem Index (YEEI) covering five key dimensions: capital accessibility, incubation and mentorship, regulatory friction, digital capabilities, and market access.
Using a longitudinal simulation design, the study compares three operational ecosystem models—Basic Micro-Grant, Integrated Incubation, and AI-Enabled Youth Innovation Hub—across a five-year horizon. The simulation indicates that transitioning to an AI-supported innovation hub increases the composite ecosystem index from 48.2 to 88.4, boosting cumulative 5-year youth job generation per 100 ventures from 34 to 135. Furthermore, sectoral cross-analysis via multi-variable modeling highlights Agri-Tech and Green Tech as high-impact sectors yielding the highest employment multiplier per unit of seed capital invested. The study concludes with policy recommendations to transform youth from passive job seekers into resilient wealth creators.
Keywords youth entrepreneurship; youth employment; venture survival; ecosystem index; human capital theory; innovation hubs; job creation multiplier.
Field Engineering
Published In Volume 2, Issue 4, July-August 2020
Published On 2020-08-05
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