Rawls on Income Inequality and Poverty

Abstract

The most important function of principles of justice, Rawls argues, is to ensure that basic social institutions do not allow arbitrary factors to determine the distribution of goods. In the cases of both severe poverty and income inequality, arbitrary factors-natural and social endowments-generally determine the distribution of social goods. In order to address the influence of endowments on distribution, Rawls's theory sets out three requirements. First, a principle lexically prior to the liberty principle requires the provision of a social minimum that prevents extreme deprivation. Second, fair equality of opportunity requires the realization of real equal opportunity. Finally, the difference principle requires that—once equal opportunity is secured—remaining inequalities must be so thoroughly to everyone's advantage that even the least advantaged benefit. The requirement of equal opportunity aims to reduce significantly the influence of social endowments, while the difference principle aims primarily to reduce that influence of natural endowments.