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Problem '7: Industry Policies (10 points) Consider the following model parameters for Lecture 10 0 0 0 0 1 0 0 0 )3: 02 0

Problem '7: Industry Policies (10 points) Consider the following model parameters for Lecture 10 0 0 0 0 1 0 0 0 )3: 02 0 0 , 5: 0 , 2= 1 , D: )9 0 0, 0

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