The number of U.S. university students obtaining undergraduate and graduate accounting degrees decreased significantly from 2011 to 2020. Using university-level panel data from 1983 to 2020, we find that the decrease in national unemployment rates from 2009 to 2018 accounts for the majority of the decline in accounting graduates over the past decade. We also find that state unemployment rates have an incremental effect on the number of students obtaining undergraduate, but not graduate, degrees in accounting. Furthermore, our results indicate that the number of male accounting graduates is more sensitive to unemployment rates compared to their female counterparts, although we find mixed results regarding the difference in sensitivity between white and minority graduates in accounting. Our evidence sheds light on the primary cause of the recent decline in accounting graduates, and how to address it and maintain a diverse student body throughout business cycles. Data availability: Data are available from the public sources cited in the text. JEL Classifications: I23; J24; M41.