Which event most likely explains renewed demand in a recovery period? consumers choose to save more and spend less. economic policy renews consumer confidence and demand. producers decrease prices to prompt demand and recovery. production decreases to prompt increased demand.

The event in which the "economic policy renews consumer confidence and demand" most likely explains "renewed demand" in a recovery period.

Explanation:

One of the major reasons that cause a recession to occur is the drastic fall in the demand for produced goods. The recovery period after a prolonged recession is the one in which the government tries to revive the demand for goods in order to cope up with the recession and make the money flow in the market. For that to happen, the government and other responsible authorities renew the economic policies to best suit the conditions and promote sale of goods.