This Development Progress Working Paper develops a practical and useful methodology to identify key bottlenecks and opportunities to achieving full and productive employment for all. The methodology assesses where progress has been achieved and where to target efforts to enable a more socially inclusive and sustainable growth path. In practice, it builds on the well-known ‘growth diagnostics’ framework by incorporating important qualitative dimensions. The key messages are as follows:
- The type of economic growth matters for employment creation and poverty reduction.
- Productive employment should be the key focus of economic policy.
- A wide range of policies will be required to seize
opportunities and tackle challenges.