Part II True-False-Uncertain

For each of the following statements, mark the answer True (if the statement is always true), False (if the statement is always false) or Uncertain. If your answer is FALSE, explain WHY the statement is incorrect; if your answer is UNCERTAIN, explain under what circumstances the statement is true and under what circumstances the statement is false. If the statement is TRUE, simply mark it as TRUE, no explanation needed. Your explanations do not need to be lengthy

1. All taxes create inefficiencies in a market economy.