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Sentence Correction: Pronoun Questions - It

The Prime Minister of Country X proudly announced that the national debt eased when it was expected for it to rise.

Very good!

Although some of the other answer choices are grammatically correct, this answer choice is the most concise of them all. 

Incorrect.

This answer choice is redundant. There is another answer choice that expresses the same meaning in fewer words.

Note that the first it serves as a subject replacement while the second it serves as a pronoun which refers to the previously mentioned noun national debt.

Incorrect.

This answer choice is redundant. There is another answer choice that expresses the same meaning in fewer words.

Note that it serves the traditional pronoun function of referring to a previously mentioned noun (national debt).

Incorrect.

This answer choice is redundant. There is another answer choice that expresses the same meaning in fewer words.

Note that the first it serves as a subject replacement while the second it serves as a pronoun which refers to the previously mentioned noun national debt.

Incorrect.

This answer choice is grammatically incorrect. The pronoun they can only refer to plural nouns, but there is no plural noun in the entire sentence.

Note that it serves the traditional pronoun function of referring to a previously mentioned noun (national debt).

it was expected for it to
there was an expectation for it to
it was expected to
it was expected that it would
they expected it to