Unemployment is a big problem in the economy, and different theories try to explain it. The New Classical model says that free markets will fix unemployment in the long run, while Keynesians think government intervention is needed. The research looked at these theories and found that developing countries need to increase capital to reduce unemployment. Keynesians believe the economy can stay below full capacity for a while due to market imperfections, so they support government spending to boost the economy. Policymakers should consider both micro and macro adjustments to reduce unemployment effectively.