From a purely potential damage perspective, dual wielding is better for lower strength characters and 2 handed weapons are better for high STR characters.
2 Handed weapons are better for high STR characters since 2 handed weapons get 1.5 times the character's STR bonus. For example, a character with a STR of 18 would get a 2 handed STR bonus of +4 x 1.5 == +6. However, a STR 10 character would get no STR bonus (0 x 1.5 is still zero). If the low STR character does not already have 5 attacks, dual wielding will give you that extra attack for potentially more damage.
As far as high LEVEL characters ... well, I suppose that if you already have 5 attacks with a single weapon, there's no point to carrying a second weapon since you'll get no more attacks. However, some weapons have special abilities (like extra STR, or an AC bonus, etc.) that may make it worth dual wielding.
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