Social and Economic Measures for Reduction of Unemployment in Serbia and Their Effects on Poverty and Level of Development

The aim of this chapter is to provide a basis for a possible course in the analysis of the unemployment rates and poverty, as well as to point to the ways to solve these long-term problems by applying different strategic measures. The main intention of the author is to explain and show a descriptive concept based on the fundamental theoretical principles present in the macroeconomic science, which can be applied in the analysis of the given restrictions. The concept of a rise in employment and change in productivity is based on modernization and transformation of the economy according to the investment rates and the achieved economic development in Serbia. The results that emerged from the work provide a basis for the interpretations of changes in unemployment which occur after technological improvement in a certain economic field, or after fund increase of various types of capital.