Why Does Redistribution, So That the Distribution of Income Is

Question 128
Multiple Choice

Why does redistribution, so that the distribution of income is equal, bring about less total output? A) No one can determine marginal benefit or marginal cost as a result. B) Because the marginal benefit and marginal cost of work have been equally increased. C) The premise of the question is incorrect because an equal distribution of income would increase rather than decrease the total amount produced. D) Those in political power will likely receive a larger income. E) Incentives to work are reduced.