The best explanation for the late 1994/early 1995 collapse of the Mexican peso and stock market is

a.free movement of capital internationally is destabilizing for a developing country.

b.portfolio investments were camouflaging overvalued exchange rates, destabilized financial market & the economy.

c.debt for equity swaps had created imbalances in the ownership structure of the economy.

d.the potential benefits of NAFTA had been oversold.