If Expectations Are Formed Rationally,wages and Prices Are Completely Flexible

Multiple Choice

If expectations are formed rationally,wages and prices are completely flexible in both the short run and the long run,and policy is correctly anticipated,increases in aggregate demand will stimulate the economy to higher levels of Real GDP in

A) the short run or the long run.
B) neither the short run nor the long run.
C) the short run,but not in the long run.
D) the long run,but not in the short run.