Abstract. Youth as an economic actor is also a rational agent. Youth are always faced with various alternative choices, one of which is entering the labor market (working), attending school, going to school while working, or not both. The findings of this paper suggested that youth have become a major part of the workforce, also a determinant of economic conditions, in addition to the demographic posture of a large population of young people. Youth are faced with a variety of economic challenges including the need to increase productivity in increasingly competitive global markets. They must be creative, innovative, and productive with increased capacity to compete, not only in the global market but also in the domestic market.