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The thermodynamic second law analysis is utilized to investigate the inherent irreversibility in an unsteady hydromagnetic generalized Couette flow with variable electrical conductivity in the presence of induced electric field. Based on some simplified assumption, the model nonlinear governing equations are obtained and solved numerically using semidiscretization finite difference techniques. Effects of various thermophysical parameters on the fluid velocity, temperature, current density, skin friction, the Nusselt number, entropy generation number, and the Bejan number are presented graphically and discussed quantitatively.