Which of the Following Statements Is False

Multiple Choice

Which of the following statements is false?

A) Recessionary gaps in Canada had been deeper and more persistent than the inflationary gaps during the period of 1982-2008.
B) Positive output gaps imply recessionary gaps.
C) Zero output gaps imply zero inflationary as well as and zero recessionary gaps.
D) Zero output gaps occur when actual GDP (Y) equals potential GDP (Y_P) .