Proof.
The implications (3) $\Rightarrow $ (1) and (1) $\Rightarrow $ (2) are immediate. Thus it suffices to prove that (2) implies (3). We urge the reader to find their own proof of this fact. Let $Z'$ and $Z''$ be closed subspaces with $T = |Z'| = |Z''|$ such that $Z' \to Y$ is a proper morphism of algebraic spaces. We have to show that $Z'' \to Y$ is proper too. Let $Z''' = Z' \cup Z''$ be the scheme theoretic union, see Morphisms of Spaces, Definition 67.14.4. Then $Z'''$ is another closed subspace with $|Z'''| = T$. This follows for example from the description of scheme theoretic unions in Morphisms of Spaces, Lemma 67.14.6. Since $Z'' \to Z'''$ is a closed immersion it suffices to prove that $Z''' \to Y$ is proper (see Morphisms of Spaces, Lemmas 67.40.5 and 67.40.4). The morphism $Z' \to Z'''$ is a bijective closed immersion and in particular surjective and universally closed. Then the fact that $Z' \to Y$ is separated implies that $Z''' \to Y$ is separated, see Morphisms of Spaces, Lemma 67.9.8. Moreover $Z''' \to Y$ is locally of finite type as $X \to Y$ is locally of finite type (Morphisms of Spaces, Lemmas 67.23.7 and 67.23.2). Since $Z' \to Y$ is quasi-compact and $Z' \to Z'''$ is a universal homeomorphism we see that $Z''' \to Y$ is quasi-compact. Finally, since $Z' \to Y$ is universally closed, we see that the same thing is true for $Z''' \to Y$ by Morphisms of Spaces, Lemma 67.40.7. This finishes the proof.
$\square$
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