The global environment is witnessing a large number of essential problems that are worsening and becoming difficult to solve. One of these problems is youth unemployment. In particular, in recent years, it is one of the major problems faced by European countries. This appears to be increasing at a rapid rate as young people struggle to find jobs matching their education and skills. In some European states, such as Greece or Spain, youth unemployment has exceeded 50% and one teenager in five is unemployed in both the United Kingdom and France; the average unemployment rate in Europe is 22.6% (OECD 2012). The complexity and scale of youth unemployment requires urgent action by the international community and national authorities to address the problem. It is obvious that collective measures can achieve their objective by addressing the nature of the problem, in particular the main causes and costs of youth unemployment. By carefully examining the problem and analyzing its costs, it is easier to find suitable solutions. Solutions: A number of measures have been taken to solve the problem of youth unemployment, for example the meeting of finance ministers of Germany, France, Spain and Italy was held in June 2013 directing problem (Tse et.al 2013). The mismatch between supply and demand for skills is a key challenge found in many countries and can be measured in various ways. Although the market is filled with a large amount of young and well-educated employees, it is still a challenge for companies to find suitable workers in vacant positions ( ). According to a survey conducted in nine countries, 43% of employees failed to fill entry-level job vacancies due to skill shortages and incompatibility (McKinsey and Company 2012)....... middle of paper ... ...70.O'Higgins, N. 2012. “Is it different this time? Youth labor markets during the “Great Recession”. Comparative economic studies.OECD. 2012. “G20 Labor Ministers Must Focus on Young Job Seekers.” Accessed 25 June 2013. Scarpetta, S, A. Sonnet and T. Manfredi. 2010. “The Rise of Youth Unemployment During the Crisis: How to Prevent Long-Term Negative Consequences on a Generation?” OECD working papers on society, employment and migration. Think Global and British Council. 2011. “The Global Skills Gap: Preparing Young People for the Global Economy.” Tse, T., M. Esposito, and J. Chatzimarkakis. 2013.”Demystifying youth unemployment”. World Economy, vol. 14, no. 3.Pauw, K., M. Oosthuizen and CVD Westhuizen. 2008. “Graduate Unemployment in the Face of Skill Shortages: A Labor Market Paradox.” South African Business Journal. DOI: 10.1111/j.1813-6982.2008.00152.x