Provide an explanation along with True/False/Uncertain for the following statements:

l- 2- 3- 4- WIIen govemment levies a tax on seller, the tax burden on seller is always higher than the buyer. A solution to adverse selection in insurance market is mandating everyone to buy liability Insurance. As federal and provincial govemments have exclusive taxation and spending power in Canada, there is no way for federal govemment to intewene in provincial govemments spending policies. In the presence of veltical fiscal extemalities, provinces will take the loss in federal govemment revenue into account and may therefore set tax rates too low.