Which of the Following Is True

Multiple Choice

Which of the following is true?

A) A recessionary gap can be cured in the long run if prices and wages remain stable.
B) A recessionary gap can be cured in the short run if prices and wages remain stable.
C) Recessionary gaps can be avoided if the economy grows fast enough.
D) Keynes believed that recessionary gaps will correct themselves because prices and wages are flexible.
E) Keynes believed that recessionary gaps will not correct themselves because prices and wages are not flexible.