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\begin{document}

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{\begin{list}{\arabic{diddly}}{\usecounter{diddly}}\item 
\rule{\topsep}{.01in}\ \ \ topsep\ \ \ 
\rule{\itemsep}{.01in}\ \ \ itemsep\ \ \ 
\rule{\parsep}{.01in}\ \ \ parsep\ \ \ (Beginning test environment)\\
\rule{1in}{.01in}\ \ \ dummy\ \ \ 
\rule{\listparindent}{.01in}\ \ \ listparindent\ \ \ 
\rule{\itemindent}{.01in}\ \ \ itemindent
\item }%
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\begin{test}
\rule{\labelwidth}{.01in}\rule[-2pt]{\labelsep}{.01in}\ \ \ labelwidth + labelsep\\
\rule{\leftmargin}{.01in}\ \ \ leftmargin\\

\rule{\leftmargini}{.01in}\ \ \ leftmargini (new paragraph)
\begin{test}
\rule{\labelwidth}{.01in}\rule[-2pt]{\labelsep}{.01in}\ \ \ labelwidth + labelsep\\
\rule{\leftmargin}{.01in}\ \ \ leftmargin\\

\rule{\leftmarginii}{.01in}\ \ \ leftmarginii (new paragraph)
\begin{test}
\rule{\labelwidth}{.01in}\rule[-2pt]{\labelsep}{.01in}\ \ \ labelwidth + labelsep\\
\rule{\leftmargin}{.01in}\ \ \ leftmargin\\

\rule{\leftmarginiii}{.01in}\ \ \ leftmarginiii (new paragraph)
\begin{test}
\rule{\labelwidth}{.01in}\rule[-2pt]{\labelsep}{.01in}\ \ \ labelwidth + labelsep\\
\rule{\leftmargin}{.01in}\ \ \ leftmargin\\

\rule{\leftmarginiv}{.01in}\ \ \ leftmarginiv (new paragraph)
\begin{test}
\rule{\labelwidth}{.01in}\rule[-2pt]{\labelsep}{.01in}\ \ \ labelwidth + labelsep\\
\rule{\leftmargin}{.01in}\ \ \ leftmargin\\

\rule{\leftmarginv}{.01in}\ \ \ leftmarginv (new paragraph)
\begin{test}
\rule{\labelwidth}{.01in}\rule[-2pt]{\labelsep}{.01in}\ \ \ labelwidth + labelsep\\
\rule{\leftmargin}{.01in}\ \ \ leftmargin\\

\rule{\leftmarginvi}{.01in}\ \ \ leftmarginvi (new paragraph)
\end{test}
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