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John Rawls: a Theory of Justice

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John Rawls: A Theory of Justice
The social contract theory, which has roots in Plato and was developed by Hobbes, Locke, Rousseau, and Kant, grounds moral requirements in social agreements made for the sake of mutual advantage. Rawls presents a novel social contract theory, which has two main parts. The first part of the theory identifies the correct principles of justice as those "that free and rational persons concerned to further their own interests would accept in an initial position of equality as defining the fundamental terms of their association." To ensure that the principles selected by contractors are fair, Rawls imposes a crucial restriction on the "original position" from which the contractors select principles. In Rawls's theory, the correct principles of justice are those that would be chosen from behind a veil of ignorance, whereby individuals are stripped of any particular knowledge about themselves, their social position, or their conception of the good. In putting forward this idea of the original position, Rawls claims that he is simply making vivid "the restrictions that it seems reasonable to impose on arguments for the principles of justice."
Rawls maintains that contractors in the original position would agree on two principles of justice. First, "each person is to have an equal right to the most extensive scheme of equal basic liberties compatible with a similar scheme of liberties for others." Second, "social and economic inequalities are to be arranged so that they are both (a) reasonably expected to be to everyone's advantage, and (b) attached to positions and offices open to all." The first of these principles is lexically prior to the second - i.e., the first principle (concerning liberty) trumps the second (concerning inequality). The guiding thought behind the two principles, Rawls claims, is that inequalities can be just only when they benefit the least advantaged members of society. Rawls points out that his theory thus differs sharply from utilitarianism, according to which we ought to maximize well-being, and shares commonalities with Kant's moral philosophy.
-Rawls claims that the principles of justice are analogous to categorical imperatives.


Definitions:

Economies of Scale

Cost advantages reaped by companies when production becomes efficient, as the scale of operations and output increases.

Making a Profit

The financial gain obtained when the revenue generated from a business activity exceeds the expenses, taxes, and costs associated with maintaining the operation.

Breaking Even

The point at which total costs and total revenue are equal, meaning no net loss or gain has been made.

Taking a Loss

A situation where a business or individual sells an asset for less than its purchase price, resulting in a financial deficit.

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