Explain the concept of diminishing marginal utility, and describe the role that it
plays in the utilitarian argument for the redistribution of income.
The following income distribution data are for a country called New Land. Can you
design a tax to redistribute the income to achieve a equal income distribution?
Quintile Percent Share
Lowest 20% 5%
Second quintile 10%
Third quintile 15%
Fourth quintile 30%
Highest 20% 40%