2019 Year 12 IB Extended Essays

Ayn Rand’s Objectivism and John Rawls’ Theory of Justice

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The Rawlsian school of thought is, broadly, compatible to that of a socialist state.

Comparatively, the Randian school of thought was the poster child for the neo-liberal

movement. Rawls’ philosophy has influenced many social welfare states such as

Norway, which has one of the lowest rates of income inequality. Furthermore,

Norwegians benefit from the social welfare policies created by the government. The

only way for this too be possible is for greater government intervention in socio-

economic issues. The social contract trades off individual advantages to create an

egalitarian-based society.

Rand’s philosophy has best been represented in the United States of America, as

supported by both the Republican and Democratic parties in the United States. The

diluted laissez-faire capitalism that makes up its socio-economic philosophy provides

an excellent case study to evaluate Rand. The US suffers from high rates of income

inequality which is further magnified by it being the richest country in the world by

gross domestic product. The American social contract focuses on the individual’s rights

and freedoms at the expense of society and the less fortunate.

Both schools of thought provide a cogent basis for socio-economic policy. However, it

is clear that middle ground needs to be found. This is due to Rawls’ miscount of human

greed and Rand’s perceived cruelty to those worse off. Countries with a similar socio-

economic model to Australia provide a good prototype for other nations to follow. The

mixed market economy finds a middle ground between Rawls and Rand; Socialism and

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