Suppose the government implements fiscal consolidation by cutting spending while the nominal interest rate is already at zero or near zero percent. Given n'equals to -1, fiscal consolidation will likely lead to:

a. Increasing inflation, decreasing real interest rate and a recession

b. Deflation spiral, increasing real interest rate and a recession

c. Increasing inflation and real interest rates, and a recession

Od. Deflation spiral, decreasing real interest rate and a recession

e. All of the answers here are incorrect