Which of the Following Is True of a Contractionary Gap

Multiple Choice

Which of the following is true of a contractionary gap?

A) It develops when the expected price level is less than the actual price level.
B) In the long run,this gap will close when resource suppliers negotiate lower resource payments.
C) It measures the amount by which actual output is greater than the economy's potential output.
D) In the long run,this gap will close when the short-run aggregate supply curve shifts rightward.
E) In the long run,this gap will close when the aggregate demand curve shifts rightward.