A country's creditworthiness is typically influenced by various performance statistics that indicate the overall health of its economy. Here’s a detailed analysis of each option:
A. Low unemployment:Low unemployment indicates a healthy labor market, suggesting economic stability and growth, which positively impacts creditworthiness.
B. Low inflation:Low inflation reflects price stability, which helps maintain the purchasing power of the currency and economic stability, thus benefiting creditworthiness.
C. High degrees of investment:High levels of investment indicate confidence in the economy and potential for future growth, positively affecting creditworthiness.
D. Low degrees of savings:Low savings rates can indicate potential issues with financial stability, as it suggests that households and the economy might lack a financial buffer against economic shocks. This can negatively impact creditworthiness, making it the exception in this list.
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