What are the benefits of using multi resolution videos in adaptive bitrate streaming?

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Why is it recommended to transcode videos with high resolution for high bitrate and low resolution for low bitrate? Why we should not use high video resolution for both high and low bitrates?

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Your choice is going to be if you want the video to sometimes buffer (if the bandwidth is not sufficient to deliver frames in real-time), or if you want the video to continue to play smoothly (sometimes at the expense of quality). In some scenarios quality will be more important (and the user will happily wait to buffer to allow smooth playback), other times uninterrupted viewing no matter the bandwidth available is more important.

Depending on the source material there are different optimization strategies and tuning that you can apply (multiple passes, variable vs fixed bitrates, codec selection etc) but the limitation of the end users available bandwidth is always going to be a constraint