A reduction in a country's rate of inflation should

In The General Theory of Employment, Interest, and Money, Keynes rejected the idea that

a. a capitalist economy always gravitates toward high levels of employment. b. budget deficits necessarily cause recessions and inflation. c. the ultimate breakdown of the capitalist system is inevitable. d. international trade always helps to achieve economic stability.

A nation's country-risk premium increases if:

a. Central bank policies become more predictable. b. Expected inflation becomes harder to predict. c. Its government becomes more stable. d. All of the above. e. None of the above