25966 - Theory of Distributive Justice

Learning outcomes

The course offers an introduction to the economic analysis of the main theories of distributive justice. It aims to provide the conceptuals tools needed to allow students to understand the main theoretical issues and to take part, with sufficient precision and autonomy, to the contemporary political and economic debate.

Course contents

1. Introduction: social justice and economic analysis.

First and second theorem of welfare economics.

The role of value judgements in the economic analysis (liberal value judgements, the end state model; the procedural model; individual choice and social choice).

2. Distributive justice in a social choice perspective.

Social welfare statements, interpersonal comparisons and distributive justice (Pareto principle; social welfare ordering; social welfare function; social welfare function and Arrow impossibility theorem; rawlsian social welfare function; utilitarian social welfare function).

3. Distributive justice in a contractarian perspective.

Social contract and game theory (state of nature; mutual advantage, impartiality and reciprocity; bargaining games solutions without interpersonal comparisons (Nash and Kalai-Smorodinski solutions); bargaining games solutions with interpersonal comparisons (utilitarian and proportional solutions)).

4. Distributive justice and neo-utilitarianism.

Introduction to Harsanyi (extended alternatives; extended preferences; the impartial observer; interpersonal and intrapersonal comparisons; Harsanyi's doctrine and the impartial observer theorem; the problem of commitment).

5.  Justice as fairness.

Introduction to Rawls (political conception of justice; cooperation for mutual advantage; the fundamental structure of society; principles of justice; interpersonal comparisons and primary goods; the original position; the difference principle; comparisons with classic utilitarianism; the problem of  commitment).

6. Fair social contract.

Introduction to Binmore (repeated games, social norms and equilibrium selection; self-enforcing social contract; cultural evolution and originary position; comparison with Rawls). 

7. Justice as entitlement.

Introduction to Nozick (procedural and “end-states” models of justice; justice in aquisition and justice in tranfer; self-ownership vs. ownership of external resources; compensations; voluntary exchange and the role of competitive markets).

8. Egalitarianism.

Distributive justice as envy-freeness (allocations envy-free; envy-free and Pareto optimality; superfairness).

Introduction to Dworkin (resources and preferences; personal responsibility and bad luck; distributive justice as equality of resources rather than equality of welfare; the role of competitive markets).

The idea of equality of opportunity.

9. Evolution and theories of distributive justice.

Distributive justice as social convention (introduction to the theory of evolutionary games; the emergence of conventions in bargaining games with multiple equilibria; cultural evolution and the emergence of distributional norms).

Readings/Bibliography

- Negroni Giorgio, Analisi Economica e Teorie della Giustizia Sociale. Appunti delle Lezioni, mimeo, 2008.

- Further readings will be communicated during the lectures.

Teaching methods

The course is based on traditional lectures by the instructor.

Assessment methods

Evaluation is based on a written exam at the end of the course.

Teaching tools

A web page with the detailed program, further teaching material, the results of the exams and the announcements.

Office hours

See the website of Giorgio Giovanni Negroni