Use the figure below, whi

Use the figure below, whi

Use the figure below, which shows the linear demand and constant cost conditions facing a firm with a high barrier to entry, to answer the next three questions.The firm will earn economic profit of $1,250,000. Explain.If the entry barrier is removed consumers will be better off because consumers will enjoy greater consumer surplus. Explain.$625,000, the deadweight loss, is caused by the market power created by the high entry barrier. Explain.

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