A Contractionary Monetary Policy That Has Been Imposed to Reduce

A contractionary monetary policy that has been imposed to reduce inflation will most likely

A) lead to a recession that is long and severe, under any circumstances.
B) have no effect on the short- run level of GDP and unemployment.
C) not control inflation, since money supply changes have little or no effect on the price level.
D) lead to a recession which will be short if inflation expectations adjust rapidly and accurately.
E) produce long- lasting unemployment if wages adjust rapidly.