At a Short-Run Equilibrium ________, While at a Long-Run Equilibrium

Multiple Choice

At a short-run equilibrium ________, while at a long-run equilibrium ________.

A) output is at a level consistent with inflation; there is an output gap
B) output equals potential output; the inflation rate is stable
C) the inflation rate is stable; there is an output gap
D) there is an output gap; output equals potential output