2. MethodsThis report aims to study the causes of unemployment in Bosnia and Herzegovina, as well as the problems and solutions of unemployment in this country. The exploration of the causes of unemployment is analyzed based on the book written by Rajko Tomas entitled Nezaposleni. Additionally, data regarding unemployment problems in Bosnia and Herzegovina are taken from Miomir Jaksic's book Makroekonomija. The articles relating to poverty and young people going abroad are taken from the book Osnovi ekonomije written by Slobodan Barac and Budimir Stakic and its articles are very useful for our subject. Finally, solutions to unemployment in Bosnia and Herzegovina are analyzed using online articles “Polovina gradana u BiH zivi na granici siromatva, na korak od gladi”, written by Vecernji List.3. Results3.1 Causes of unemployment in Bosnia and Herzegovina3.1.1 Undeclared workThe first major cause of unemployment in Bosnia and Herzegovina is undeclared work. Undeclared work gained significant importance during the period of socialist development in this country, where privatization of local businesses was common. This type of work existed in certain branches, such as agriculture, crafts, construction and catering. In the past, undeclared work was only seasonal and temporary, but it is now common in all sectors of the country. Today, statistics show that some companies do not register any workers, but these companies still exist. They use the method where their workers are placed on a waiting list, but no one guarantees that they will be registered (Ilic, 2003). The main reason why employers do not register their employees is the high monthly cost for each worker, and by using this method they are trying to save time......e employment represents an excellent alternative while these people are waiting for long-term employment. Examples of programs that enhance youth experience are internships, temporary work, part-time jobs and project work. These people are able to complete these programs during their vacations or semesters, so that they can combine their knowledge from education with the knowledge acquired in these programs. According to the Boston Consulting Group, 34% of Swedish candidates had experience in their field and 85% of them obtained full-time employment after a certain period. The Bosnian economy lacks a small number of companies that can offer and implement programs that strengthen the professional experience of young people. The government of Bosnia and Herzegovina will put pressure on these companies to launch such programs which would lead to a decrease in the unemployment rate..