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Fairness failure

In: Neoliberal Social Justice

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Abstract

How are social resources to be distributed in a liberal community? Inspired by Richard Musgrave, Rawls adopts a public finance approach to public economics. This presumes that a public administration subject to democratic oversight can be readily deployed to achieve both allocative efficiency and distributive fairness. By contrast, markets are expected to fail when facing public goods problem or other externalities. The problem with this account is that it does not consider a core insight of public choice: parallel failings can emerge in the process of democratic decision-making. I illustrate these failings with a thought experiment called ‘Vicious neighbourhood’ and explain how property-based solutions can remedy externalities in way that is fairer than majoritarian democracy.

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  • ., 2021. "Fairness failure," Chapters, in: Neoliberal Social Justice, chapter 9, pages 94-109, Edward Elgar Publishing.
    • Handle: RePEc:elg:eechap:20140_9
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    Cited by:

    1. Falba, Aleksandra, 2022. "Analiza skuteczności polityki ograniczania pandemii COVID-19 w Polsce i Malezji do połowy 2021 r," Studia z Polityki Publicznej / Public Policy Studies, Warsaw School of Economics, vol. 9(2), pages 1-18, August.

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