The genius of a man that he is, he got it 100% right when he said that Indian youth should aim for self employment in future. Our honorary president Mr. APJ Abdul Kalam must have said this just by gut feeling in his “Vision 2020” for India.
3 years later an economist came up with the same theory in support of what our President said. He claims that unemployment breeds further unemployment until and unless self employment is promoted.
Let us see how unemployment can breed further unemployment.
When a man is unemployed, he will not have money to buy anything but his basic necessities. His needs may not be limited, but his ends surely are. The lesser buying power of people leads results in lesser demand for goods in the market.
Lesser demand implies supply has to be cut down.
Lesser supply implies lesser production.
Lesser production implies closing down of manufacturing units.
Closing down of manufacturing units implies laying down of jobs.
Laying down of jobs implies further unemployment.
Hence, it is clear that unemployment can only breed further unemployment in any nation and the solution lies only in promoting self employment and then providing employment for the unemployed.
3 years later an economist came up with the same theory in support of what our President said. He claims that unemployment breeds further unemployment until and unless self employment is promoted.
Let us see how unemployment can breed further unemployment.
When a man is unemployed, he will not have money to buy anything but his basic necessities. His needs may not be limited, but his ends surely are. The lesser buying power of people leads results in lesser demand for goods in the market.
Lesser demand implies supply has to be cut down.
Lesser supply implies lesser production.
Lesser production implies closing down of manufacturing units.
Closing down of manufacturing units implies laying down of jobs.
Laying down of jobs implies further unemployment.
Hence, it is clear that unemployment can only breed further unemployment in any nation and the solution lies only in promoting self employment and then providing employment for the unemployed.
