If the contribution margin is not sufficient to cover fixed expenses:

a. total profit equals total expenses.
b. contribution margin is negative.
c. a loss occurs.
d. variable expenses equal contribution margin.

Consider an economy where the government's budget is initially balanced. the production function, consumption function and investment function can be represented as follows y equals k to the power of alpha l to the power of 1 minus alpha end exponent c equals c subscript 0 plus b left parenthesis y minus t right parenthesis i equals i subscript 0 minus d r suppose that taxes increase. what happens to the equilibrium level of output?