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EDUCATION INDICATORS: An International Perspective


Indicator 19: Unemployment and Education

The unemployment rate (defined as the proportion of adults 25-64 years old who are without work but are seeking and currently available for work as a percentage of the total labor force) is an important indicator of the overall health of the labor market. Combatting unemployment is a key priority in the United States, as in most industrialized countries; and some researchers suggest that one means of improving job opportunities is through more formal education. With the continuing advancements in technology, less-well-educated individuals may become more and more vulnerable to failure in labor market competition. By examining the unemployment rates for persons aged 25-64 at various levels of education attainment, Indicator 19 highlights the relationship between formal education and employment.

Sidebar: Alternative unemployment measures

*For further explanation of education levels, see the sidebar entitled ISCED levels of education


Table 19: Unemployment rates,1 by highest level of education attainment for persons 25-64 years of age and country: 1992


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		 Lower	        Higher	       Higher
	       secondary	Upper	      education    education
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Country	      and below	      secondary    (nonuniversity)  (university)
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G-72
Canada         15.1             9.7             9.0             5.2
France         12.1             7.4             4.6             4.4
Germany         8.9             6.4             4.5             3.7
Italy           7.3             8.2             (3)             6.0
United Kingdom 12.3             8.3             3.3             3.6
United States  13.5             7.2             4.6             2.9
Other
Australia      11.2             8.9             5.7             4.4
Austria         5.6             3.2             (3)             1.3
Belgium        13.0             4.7             2.3             2.2
Denmark        15.6             9.2             5.8             4.8
Finland        14.9            12.1             5.7             3.4
Ireland        19.8             9.3             5.8             3.3
Netherlands     8.0             4.7             (3)             3.9
New Zealand    11.2             7.5             4.6             3.7
Norway          7.1             4.9             2.8             1.8
Portugal	5.3		4.5		1.9		1.8
Spain          16.0            14.1            12.5             9.9 
Sweden		4.6		4.3		2.3		2.0
Switzerland	3.5		2.2		2.3		3.0
Turkey		5.1		6.7	   	(3)		4.1
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1/ This indicator defines unemployment as the proportion of adults aged 25-64 who are unem- ployed (i.e., persons without work and who are seeking and currently available for work) as a percentage of the total labor force. However, there are numerous ways to define unemployment. See Sorrentino, C., International comparisons of unemployment indicators, Monthly Labor Review, March 1993 for alternative definitions of unemployment and accompanying cross- national comparisons.
2/ No data available for Japan.
3/ Data included in another category.

NOTE: See supplemental note to Indicator 19 for details on indicator calculation for Australia, Austria, Belgium, Canada, Finland, France, Germany, Ireland, the Netherlands, New Zealand, Norway, Portugal, Sweden, Switzerland, Turkey, the United Kingdom, and the United States.

SOURCE: Organization for Economic Co-operation and Development, Center for Educational Research and Innovation, International Indicators Project, 1995.


Figure 19: Unemployment rates for 25- to 64-year-olds, by highest level of education attainment and G-7 country:1,2 1992
Figure 19

1/ No data available for Japan.
2/ Countries are sorted in descending order according to percentage point difference in unemployment rate between highest and lowest level of education reported.

SOURCE: Organization for Economic Co-operation and Development, Center for Educational Research and Innovation, International Indicators Project, 1995.


See supplemental notes to Indicator 11.


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