In theory Utilitarianism maximizes society's welfare by?
A. Allocating resources to the poorest members of the populations
B. Continually, reallocating resources to those with the lowest marginal utilities
C. Continually, reallocating resources to these with the highest marginal utilities
D. Answer (a) and (b)
Answer option C)
utilitarianism was proposed by Bentham, & social welfare is defined as the sum total of individual utility of all members of society, with equal weight assigned to each individual utility.
& Believed on principle of diminishing MU, thus an extra 1 dollar provide more additional utility to a poor , than to a rich
thus income is reallocated in way that MU is equalized across all individuals
Thus reallocation is done in way that utility loss of rich, is more than compensated by utility gain of poor,as these are with highest MU
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