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      Question

      Each of the following sentences has two blanks. Choose

      the most appropriate pair of words from the five given options to fill the blanks so that the sentence is grammatically and contextually correct. In highly volatile markets, investor behaviour often becomes ______, driven more by emotional impulses than rational analysis, which can ultimately ______ long-term financial stability and distort asset valuation.
      A rational, stabilize Correct Answer Incorrect Answer
      B erratic, undermine Correct Answer Incorrect Answer
      C calculated, reinforce Correct Answer Incorrect Answer
      D consistent, preserve Correct Answer Incorrect Answer
      E logical, strengthen Correct Answer Incorrect Answer

      Solution

      Volatile markets → emotional behaviour erratic = unpredictable  undermine = weaken  Meaning: Emotions → instability Other options fail: rational/logical → opposite stabilize/strengthen → incorrect effect

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