The government is in need of tax revenue and has narrowed down the choice of markets to tax to two: cigarettes or t-shirts. The markets are summarised below.   Cigarettes   Demand: P = 100 – 4Q   Supply: P = Q   T-shirts   Demand: P = 35 – ½Q   Supply: P = 5 + ½Q   Graph the two markets and calculate the equilibrium price and quantity.   If the government implemented a $5 tax on each market, how much tax revenue could each market generate?   If you were an economic advisor, which market would you suggest taxing and why?

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