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A lower interest rate increases consumption, investment, employment, which results in an increase in aggregate demand. 

A lower interest rate increases consumption, investment, and exports, which increases aggregate demand.

What is lower interest rates?

To make an individual make more purchases and borrow money, this will increase the demand for household goods. Lower interest rates, in simple words, can be stated as spending more money in the pockets of consumers.

So, lowering the rate of interest will result in an increase in consumption, investment, and exports.

Therefore, a lower interest rate increases consumption, investment, and exports, which increases aggregate demand.

Learn more about lower interest rate from here:

https://brainly.com/question/15393859

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