import numpy as np import pandas as pd # Step 1: Define States and Initial Budgets states = ['StateA', 'StateB', 'StateC'] current_reimbursements = np.array([1000, 1500, 2000]) # in millions base_budgets = np.array([800, 1200, 1600]) # in millions profit_percentage = 0.50 population_growth = np.array([0.02, 0.03, 0.01]) # 2%, 3%, 1% penalty_rate = 0.10 # 10% penalty bonus_percentage = 0.05 # 5% bonus # Step 2: Define Current Expenses current_expenses = np.array([900, 1400, 1800]) # in millions # Step 3: Run Simulation def simulate_savings(expenses, base_budget, profit_percentage, pop_growth, penalty_rate, bonus_percentage): potential_savings = expenses - base_budget profit = potential_savings * profit_percentage new_budget = base_budget + profit # Penalty if budget increases more than population growth budget_increase = new_budget - base_budget penalty = 0 if budget_increase > base_budget * pop_growth: penalty...