Abstract
Pakistan’s unemployment rate among individuals with higher education has increased rapidly
in recent years. However, very little research is conducted so far on this phenomenon in Pakistan. This paper
investigates the effect of higher education attainment on unemployment rate in urban and rural areas of
Pakistan. Data of 10 years is taken from Labor Force Survey (LFS) for four provinces. Regression analysis is
conducted to examine the data. The evidence suggests a strong positive relationship between population with
higher levels of education (HE) and their unemployment rate. That is, with the increase in HE population
there is greater increase in their unemployment rate and the results are more pronounced for rural areas
compared to urban. Female unemployment incidence was found less than male counterparts. The paper
also documents that higher education unemployment rate contributes more towards total unemployment at
different levels of education. The unique feature of this study is that this empirical work examines the effect
of higher education and unemployment with spatial differences that is still not fully explored in Pakistan as
well as in international context. Further research is required to investigate the effect of different disciplines
and quality of higher education on unemployment rate.
Shafaque Fatima, Saqib Sharif. (2019) Higher Education and Unemployment: In Urban and Rural Pakistan, Journal of Education & Social Sciences, Volume 7, Issue 1.
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