Gavekal Capital: Europe: Stubbornly High Unemployment

Friday, May 2, 2014

Europe: Stubbornly High Unemployment

Unemployment in the Eurozone still hovers just under 12%, according to data released earlier today:


Unsurprisingly, the highest rates of joblessness remain in the peripheral countries while places like Switzerland, Denmark, and Germany boast rates in the lower single digits:


With respect to youth unemployment, we find the largest discrepancy versus total unemployment in Italy, where 3x as many people under the age of 25 are unemployed versus the rest of the population:


While that may not be shocking, it is interesting to note that countries with similarly extreme unemployment among the youngest workers are Sweden, Belgium, and the U.K.  In Germany, however, youth unemployment remains relatively low at 7.8%, compared to an overall unemployment rate of 5.1%.