Which of the following is NOT a reason why real GDP can be expanded be

Which of the following is NOT a reason why real GDP can be expanded beyond a level consistent with its long-run growth path in modern Keynesian analysis?

A) Higher prices induce firms to hire more workers.
B) The existing capital stock can be used more intensively.
C) Prices and wages are flexible, allowing for needed adjustments.
D) In the short run, existing workers can work more hours.

ANSWER

C