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Effect on the unemployment rate

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Suppose 500,000 undergraduate students graduate on sunday, May 12, 2019. All 500,000 begin to look for work on Monday, May 13, 2019 and all 500,000 are hired immediately. Ignore any other labor market activity that may happen on May 2019. Since there was no loss of time searching for a job, the hiring of there 500,000 former college students would have no effect on the unemployment rate for May 2019? Indicate whether the statement is true or false. Provide an explanation.

Reference no: EM132240931

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