How do these factors affect economic recovery?

Right, world trade is particularly important for recession recovery (which can usually be solved, although it may be inflationary by increasing aggregate demand). This is because exports are a component of aggregate demand and an increase in net exports (exports minus imports) will increase aggregate demand in the short run and lead to short-term economic growth. Increased exports also tends to come hand in hand with a more international competitive and productive economy which can only be beneficial for an economy when in the recovery stage

Fiscal consolidation is the reduction of government deficits and debt, whilst this is important in the long run as a structural deficit is unsustainable it is not as important for short-run economic recovery but by moving to a tighter fiscal policy it is likely to aid long-term growth

Aggregate demand obviously provides short-run growth when shifting to the left due to an increase in one of the components, however movements in aggregate demand are suggested to have no long-term impacts on growth and only have an affect on inflation (when using the LRAS model). Nevertheless, increased aggregate demand is vital to smoothing out the business cycle and for leading to a recovery

Changes to the labour market is also a longer-term issue, you can promote more flexible working practices to improve the mobility of labour and provide a more competitive/ motivated work force. However this could be seen as inequitable as promoting flexible working practices would decrease security for vulnerable people in part time work.


That's all I can be bothered to write for now

Thankyou

Doesn't an increase in one of the components shift it to the right?