"A more equal distribution of income in the United States would result in greater total consumer satisfaction." This statement is based on the concept that:

Question

Quizplus · Accepted Answer

The concept referred to in the statement is that of diminishing marginal utility, which suggests that as income increases, people experience smaller and smaller increases in utility or satisfaction. Therefore, a more equal distribution of income would result in a greater total amount of consumer satisfaction since higher income earners would receive lower marginal utility from additional income compared to lower income earners who would benefit more from additional income.

"A More Equal Distribution of Income in the United States