Final answer:
Stable prices make it easier to plan for the future, so expectations can be stable, which makes it less is true. The correct option is a.
Step-by-step explanation:
Stable prices make it easier to plan for the future, as expectations can be stable. The theory of rational expectations states that individuals make decisions based on their rational expectations of the future. In the context of stable prices, individuals can confidently anticipate future prices and adjust their plans accordingly. This stability in expectations makes it less likely for unexpected changes in prices to disrupt future plans.
The correct option is a.