Obstacles and Opportunities of Self-Employment of Young People in a Modern Society

In the modern society the elimination of the problem of youth employment become one of the main tasks for every country despite of its level of development and income. It is absolutely clear that developing countries and countries with transition economies have more difficult situation and have less institutionalized conditions for providing enough possibilities for young people. One of the most perspective trend that is considered as a reliable solution to this problem in the world is the self-employment youth.

Though international experience is of great help for some young current and potential entrepreneurs, the extent of its efficiency in countries like Russia is still questionable.

The author suggests a hypothesis that these difficulties can be solved by elimination unnecessary institutional formations and correction of youth policy as a whole. The author had conducted a survey that was aimed at identifying the main obstacles to the creation of youth business. There were surveyed 800 university full-time students aged 18 to 25 years. The results of the study showed the most significant barriers to the startup. For example “unofficial payments at the opening of business” were checked by 46,8 % of respondents, while 59,2 % were concerned about “additional fees to inspection bodies” though there are some ways that make possible to avoid such fees students consider them as something inevitable. This imbalance shows that there are some problems with information support of youth startups while students themselves are not too bothered by this problem (19,2 %). Further analysis of the results showed that some of the essential elements of the current policy of the country are neglected. Author believes that such situation is represented in many regions and countries and offers some recommendations in order to reduce the dysfunctions of current programs for business-active youth.