Suppose Rita Obtains 16 Units of Utility from the Last

question 299

Multiple Choice

Suppose Rita obtains 16 units of utility from the last dollar of income received by her, and Joseph obtains 12 units of utility from the last dollar of his income. Assume both Joseph and Rita have the same capacity to derive utility from income. Those who favor an equal distribution of income would

• A)advocate redistributing income from Joseph to Rita.
• B)advocate redistributing income from Rita to Joseph.
• C)be content with this distribution of income between Rita and Joseph.
• D)argue that any redistribution of income between them would increase total utility.

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