When net exports increase, it leads to an increase in __________, which can help reduce cyclical unemployment.

When net exports increase, it leads to an increase in aggregate demand. Aggregate demand is the total amount of goods and services that people want to buy in an economy. When more goods are exported to other countries, businesses need to produce more to meet that demand, which often requires hiring more workers. For example, if a country starts selling more cars abroad, car manufacturers will need to employ more people to build those cars, thus reducing cyclical unemployment. This is important because cyclical unemployment happens when there is not enough demand in the economy, and increasing net exports can help create jobs and boost the economy.