1		A charge to a polluter that gives the right to discharge a certain amount of pollution into the air or water. (8,3)
4		A situation in which the free market results in an inefficient allocation of resources. (6,7)
7		The tax that collects the largest amount of revenue for the federal government is the ______ tax. (8,6)
10		Goods for which the principle of rival consumption does not apply. (6,5)
15		The ______ tax rate is applied to the highest tax bracket of taxable income reached by an individual. (8)
16		The ______ principle is a theory of fairness that suggests that taxpayers pay taxes in proportion to the benefits that they receive from the government. (8,8)
18		The positive difference between the purchase price and the sale price of an asset. (7,4)
19		The ______ tax is typically the most important tax source for municipal governments. (8)
20		______ payments are transfers from the federal government to the poorer provinces. (12)
23		A situation in which the costs of an action are not fully borne by the two parties engaged in the exchange. (8,4)
25		The common name used to refer to Canada's public health insurance policy. (8)
26		A per-unit tax levied on a product will have a greater negative employment effect on the industry, the more ______ the supply for the product. (7)
27		This is the largest type of sales tax in Canada. (3)
28		Goods that have been deemed socially undesirable via the political process. (7,5)
29		Tax ______focuses on the distribution of tax burdens among various groups in society. (9)

1		A sales tax levied on a specific product is called an ______ tax. (6)
2		A principle that suggests that only those buyers willing and able to pay the equilibrium price of a product will receive the benefits of the product. (9,9)
3		A ______ tax is a type of proportional income tax that applies to income earned over and above an appropriate exemption level. (4)
5		The allocative inefficiency of a tax is measured by its ______ burden. (6)
6		Laws that restrict the formation of monopolies and regulate certain anti-competitive business practices. (12,11)
7		A ______ tax takes the same dollar amount from each person, regardless of the income level. (4)
8		______ goods are subject to the principle of rival consumption. (7)
9		A tax that results in a higher average tax rate being paid at higher levels of individual income. (11,3)
10		______ rule is a decision-making system in which actions are directly based on the proportion of votes cast. (12)
11		Tax ______ refers to an income tax policy that raises the annual exemption level directly with the annual inflation rate. (8)
12		A non-elected government official who is responsible for the day-to-day operation of a government department. (10)
13		A problem that arises when individuals presume that others will pay for the provision of a public good. (4,5,7)
14		A good that has been deemed socially desirable via the political process. (5,4)
17		A ______ tax taxes the difference between a firm's sales in dollars and the dollar value of a firm's intermediate goods purchased. (5,5)
21		A per-unit tax levied on a product will impose a greater burden on the consumer when the demand for the product is more ______. (9)
22		Taxes levied on goods imported into Canada are called ______. (7)
24		A tax ______ yields the same dollar tax relief, regardless of one's income level. (6)