Step 1: Understand the sequences.
The sequences \( \{a_n\} \) and \( \{b_n\} \) are defined recursively. The sequence \( \{a_n\} \) is defined as the geometric mean of \( a_n \) and \( b_n \), and \( \{b_n\} \) is defined as the arithmetic mean of \( a_n \) and \( b_n \).
Step 2: Analyze the behavior of the sequences.
It is known that both sequences \( \{a_n\} \) and \( \{b_n\} \) converge to the same limit. This result follows from the fact that the arithmetic mean is greater than or equal to the geometric mean, and the sequences are bounded and monotonic.
Step 3: Conclusion.
Thus, the correct answer is (A), because the limits of both sequences are actually equal, contrary to what option (A) claims.