The concept of diminishing marginal utility is embodied in the utilitarian rationale for which of the following

Question

Quizplus · Accepted Answer

The concept of diminishing marginal utility suggests that as an individual consumes more of a good or service, the additional utility gained from each additional unit consumed decreases. This serves as a justification for redistributing income, as it suggests that the marginal utility of an additional dollar of income is greater for those with lower incomes than for those with higher incomes. By redistributing income from high-income individuals to low-income individuals, overall utility can be increased. Trickle-down effects, enhancing market efficiency, and maintaining the status quo income distribution are not directly related to the concept of diminishing marginal utility.

The Concept of Diminishing Marginal Utility Is Embodied in the Utilitarian