*Assistant Professor, Commerce Department Defence Authority Degree College, Karachi, Pakistan
**Assistant Professor, Commerce Department, Defence Authority Degree College, Karachi, Pakistan
***Professor, Department of Business Administration & Commerce, Indus University, Karachi, Pakistan
****Assistant Professor, Economics Department, Defence Authority Degree College, Karachi, Pakistan
Online published on 5 June, 2014.
Unemployment is one of the most important issues in macro economics. Unemployment creates many economic and social problems in the economy. This is inevitable to address this issue by means of identifying the causes which influence the level of employment. This paper determines the factors that influence the employment level in Pakistan. Four important independent variables are selected as determinants which include GDP Growth rate, inflation, FDI and Population growth rate. The correlation and multiple regression analysis reveal that GDP Growth rate and inflation have no significant relationship with the Unemployment. However, FDI and Population growth rate have significant and negative relationship with unemployment.
FDI, GDP Growth, Inflation, Population Growth, Unemployment