Paula, a citizen of Happyland, wishes to invest in the Happyland government securities but is warned by her financial adviser of an impending country-wide financial crisis. Clearly, this is an instance of _______ risk that _____________.

A.systematic; cannot be diversified

B.diversifiable; cannot be reduced through portfolio diversification

C.unsystematic; can be eliminated through portfolio diversification

D.undiversifiable: can be eliminated by building a well-diversified portfolio