j. Compare your prediction for xm when the subsidy is $7,500 to the evolution of xm in

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j. Compare your prediction for xm when the subsidy is $7,500 to the evolution of xm in your table from part (e). Once we have converged to the new equilibrium, what would you predict will happen to xm if the subsidy is reduced to $2,500? What if it is eliminated entirely?

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