China’s economy is in trouble – and its youth unemployment crisis is at the heart of the problem

• China’s youth unemployment problem is the root of its economic woes, according to economist Nancy Qian.
• Unemployment among workers aged 16-24 hit a record 21% last quarter.
• That’s largely due to a shortage of high-skill, high-paying jobs, which will weigh on its economy.

China’s economy is in crisis – and the nation’s youth unemployment problem could be at the root of its current troubles, according to Northwestern University economist Nancy Qian.

“To stem the reversal of its economic fortunes, China must address the root of the problem: the lack of high-paying, high-skilled jobs,” Qian said in an op-ed for Project Syndicate this week. “If the economy is going to grow (or at least avoid a contraction) in the long run, the government must create the conditions for job creation in high-productivity sectors, and for greater investment in higher education.”