ariana2002moody
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When economists determine that a nation’s GDP has declined, they can point to this as a sign of economic shrinkage. economic growth. low unemployment. poor leadership

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PBCHEM

ANSWER: Economic Shrinkage

EXPLANATION: When a country's GDP falls, it affects the whole country negatively. Fall in GDP affects the consumers, businesses and investors. The effect is best seen in the numbers of stock markets and currency exchange rate. If the GDP goes down by even 2%, Foreign Direct Investments (FDI) slow down and interest rates go up. This whole scenario is known as Economic Shrinkage.

pstnonsonjoku

The decline in GDP in an economy can be seen as a sign of economic shrinkage.

What is GDP?

The term GDP is called the gross domestic product. The gross domestic product gives us an idea of the productivity per capita in an economy. Hence, a thriving economy will experience a positive growth in GDP.

On the other hand, when the GDP of a country is found to be declining  steadily, economists view this as a sign of economic shrinkage.

Learn more about GDP: https://brainly.com/question/16357973?

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