Which of the Following Statements Is NOT Consistent with a Self-Correcting

Multiple Choice

Which of the following statements is NOT consistent with a self-correcting economy?  

A)  Prices and wages are flexible. 
B)  A recessionary gap is corrected through falling wages and prices. 
C)  The short-run aggregate supply tends to shift until it intersects aggregate demand at potential GDP. 
D)  The best policy is to take an active approach to a recession or depression.