Self-employment Programs: a Policy Response to Youth Unemployment, Underemployment and Informal Employment in Latin America

This article provides policies for structural unemployment, frictional unemployment and unemployment shifts. The main focus of the paper is on the policies necessary to avoid unemployment shifts. These policies include:
· Direct job creation
· Subsidies to employers
· Self-employment options
In terms of self-employment policies, these policies are directed towards youth, as entrepreneurial skills can be acquired more easily by youth then by adults.