The Idea That Potential GDP Is the Sustainable Upper Limit

Multiple Choice

The idea that potential GDP is the sustainable upper limit of production means that

A) real GDP may be temporarily larger than potential GDP,but not permanently.
B) the economy is operating environmentally efficiently.
C) real GDP may be temporarily less than potential GDP.
D) inflation must always occur in a growing economy.
E) unemployment can only temporarily be zero in a healthy economy.