Effective Socio-Economic Mechanisms for Ensuring The Competitiveness of Unemployed Youth and Their Composition

Abstract

The competitiveness of unemployed youth in the labor market is a fundamental concern for socio-economic stability and sustainable development, particularly in developing nations like Uzbekistan. Despite various policy initiatives, such as vocational education programs and employment incentives, many young people still face high unemployment due to mismatches between education and labor market demands, lack of skills, and limited institutional support. While multiple national and international programs aim to address youth unemployment, a lack of comprehensive evaluation of the effectiveness of socio-economic mechanisms hampers targeted policy development. This study aims to analyze and evaluate the effectiveness of mechanisms such as vocational retraining, startup support, grants, subsidies, and public-private partnerships in improving youth employability and reducing unemployment. Findings indicate that integrated approaches—combining financial support, educational alignment, digital literacy, and local infrastructure development—are most effective in increasing youth competitiveness. Mechanisms such as grants, mentorship, and startup incubation significantly contribute to innovation and job creation. The study presents a multidimensional policy matrix including coordination centers, digital platforms, and international collaborations tailored to Uzbekistan’s context, offering replicable strategies for similar economies. Strengthening youth employment through strategic socio-economic mechanisms not only fosters individual development and reduces unemployment but also ensures broader social stability and economic resilience, highlighting the need for adaptive policy design and cross-sectoral cooperation.