Question

A combination of _____________ foreign investment capital and banks that are bankrupt can sharply _____________ aggregate demand and cause a deep recession. Select the correct answer below: increased, reduce reduced, reduce

Answer 1

A combination of reduced foreign investment capital and banks that are bankrupt can sharply reduce aggregate demand and cause a deep recession.

What is Aggregate demand?

Aggregate demand can be described as the measurement of the  overall demand that is available for finished goods which can be attributed to a particular economy.

Factors that can  reduce aggregate demand are:

• reduced foreign investment capital
• bankruptcy

Therefore,  Aggregate demand gives total amount of money exchanged with respect to goods.

learn more about  Aggregate demand at https://brainly.com/question/1490249

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