Which of the following factors can lead to an increase in aggregate demand, thereby potentially reducing cyclical unemployment? Select all that apply.

Aggregate demand refers to the total amount of goods and services that people want to buy in an economy. Several factors can increase aggregate demand, such as lower interest rates, which make borrowing cheaper for consumers and businesses. For example, if a bank lowers its interest rates, more people might take out loans to buy homes or cars, leading to more spending in the economy. Increased government spending on projects like roads or schools can also boost demand, as it creates jobs and encourages people to spend money. When aggregate demand rises, businesses may need to hire more workers, which can help reduce cyclical unemployment.