One basic argument for redistributing income to achieve more equality rests on the idea of maximizing the society's total utility when there is diminishing marginal utility from income.

Question

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The argument is based on the principle of diminishing marginal utility, which suggests that as an individual's income increases, the additional satisfaction (utility) gained from an extra unit of income decreases. Therefore, redistributing income from wealthier to poorer individuals can increase the overall utility of society, as the utility gained by the poorer individuals from the additional income is greater than the utility lost by the wealthier individuals from whom the income is redistributed.

One Basic Argument for Redistributing Income to Achieve More Equality