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The Unemployment Dilemma of University Graduates: Bridging the Skills Gap in the Labor Market—Evidence from Afghanistan Abdul Rahman Adeli; Sayed Masood Habibi
Demagogi: Journal of Social Sciences, Economics and Education Vol. 4 No. 2 (2026): April
Publisher : Penerbit Hellow Pustaka

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.61166/demagogi.v4i2.196

Abstract

Graduate unemployment emerges as a pressing global challenge in higher education and labor market dynamics, acutely intensified in fragile economies like Afghanistan, where prolonged economic instability and structural shifts have widened skills mismatches. Recent years have witnessed a disconnect between educational outputs and market absorption, resulting in youth unemployment rates around 16.7% in 2024, with educated graduates facing disproportionate barriers to productive employment. This study investigates the skills gap as the primary mediator of graduate unemployment in Afghanistan, emphasizing deficiencies in practical competencies, digital literacy, and entrepreneurial skills amid theoretical curricula and systemic resource constraints. The research adopts a mixed-methods approach, integrating secondary analysis of international reports with qualitative insights from existing faculty and graduate perceptions. Key findings reveal that mismatches stem largely from outdated programs and limited industry alignment, perpetuating informal employment and brain drain. Recent studies underscore the critical need to align technical and vocational curricula with labor market needs to foster economic growth. Furthermore, the role of universities in empowering individuals is pivotal, yet current institutional capacities are strained by economic limitations. These patterns amplify economic fragility, constraining productivity and growth. Theoretically, the study extends human capital and skills mismatch frameworks to conflict-affected contexts, proposing a fragility-integrated model incorporating economic and structural moderators. Policy implications advocate curriculum modernization toward competency-based learning and international support for TVET and private-sector linkages to enhance employability. Bridging this gap is essential for harnessing Afghanistan's youthful demographic dividend and fostering sustainable recovery, underscoring the necessity of robust research to guide these reforms.
The Unemployment-Inflation Puzzle: A Re-evaluation of the Phillips Curve and NAIRU Dynamics Sayed Masood Habibi; Abdul Rahman Adeli
Miftah : Jurnal Ekonomi dan Bisnis Islam Vol. 4 No. 1 (2026): April 2026
Publisher : Yayasan Pondok Pesantren Sunan Bonang Tuban

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.61231/182fna54

Abstract

The relationship between inflation and unemployment remains one of the most contentious issues in macroeconomics, influencing the efficacy of monetary and fiscal policies. This research aims to re-evaluate the traditional Phillips Curve trade-off and the concept of the Non-Accelerating Inflation Rate of Unemployment (NAIRU) within the context of a developing economy, specifically focusing on Afghanistan. The study critically analyzes whether the traditional inverse relationship holds in environments characterized by structural rigidities and supply-side shocks. Employing the Autoregressive Distributed Lag (ARDL) model to examine time-series data spanning from 2001 to 2020, the study investigates the dynamic short-run and long-run interactions between these variables. The findings challenge the conventional wisdom: while a short-run analysis reveals a positive and statistically significant correlation between inflation and unemployment—contrary to the standard Phillips Curve—the long-run relationship, though negative, is statistically insignificant. This anomaly suggests that in conflict-affected, developing economies, supply-side constraints and structural impediments may dominate the labor market dynamics, rendering traditional demand-management policies less effective in sustaining employment without exacerbating inflation. The novelty of this study lies in highlighting the breakdown of the Phillips Curve mechanism in fragile states and questioning the applicability of NAIRU in such contexts.