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One is based on the declining marginal utility of a dollar: The argument is that because each additional dollar means less to a person with $1 million in hand than to someone on minimum wage, a higher proportional tax bite from the former imposes less sacrifice than the same proportion taken from the former. .
The "marginal utility" of a dollar's worth of each good is the same.
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One way is building it into the utility function, so that the utility of (for example) a sure-thing $10 is higher than the utility of a 50% chance of $20. Another way counts them as the same, but adds in the negative utility of the anxiety of prior uncertainty.
But if someone is paying just $25 a month, for example, and gets a utility allowance of $65 a month, they'll end up with a "negative rent" of $40.
[The New York Times] Two German utilities pull out of a $23.78 billion plan to build new nuclear power stations on the Isle of Anglesey in Britain, putting a government push for a new fleet of nuclear plants by 2025 into doubt.
The term $U o)$ represents the utility of the outcome $o$—roughly, how valuable $o$ is.
He likes to boast that his creations have a total annual utility bill of a mere $100.
From 2 to 4 a.m., the freeway will be closed in both directions while crews remove overhead utility lines as part of a $355-million Empire interchange construction project.
In 2000 he negotiated a purchase agreement with Northeast Utilities, owner of the property, requiring the utility to include a $10 million to $15 million cleanup of contamination in the sale price of $40 million.
The CMS Energy Corporation, the owner of Michigan's largest natural-gas utility, agreed to a $200 million settlement of shareholder suits arising from an energy trading scandal that led to the resignation its chief executive in 2002.
Tepco, Japan's largest utility, last year got a 1 trillion yen $10.2 billionn) injection of tax money in exchange for giving the government a de facto controlling stake, but management has been left to the company.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com