Answer to Question #252787 in Macroeconomics for Mami

Question

For this part, assume that nothing changed with respect to the population, i.e., those who were working kept their jobs and those who were looking for jobs kept looking for jobs. Choose between (increase/decrease/not change) A) A baby is born. i) Unemployment Rate will _

Answer 1

Unemployment rate will not change.

This is because the population will increase by one but baby does not have the expertise to fit in an employment position.