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His
theory is an attempt at removal of some of the shortcomings of Rawls'
theory. Dworkin takes a so called envy-test as the criterion
of just distribution. This test says that distribution of goods
is not satisfactory if after it a person envies someone else because
a bundle of resources he has received. This problem is resolved
with the help of an auction in which everyone gets the same initial
amount of money that enables him to bid for all the resources that
are at disposal of this community. The meaning of this procedure
is to ensure that an individual must sacrifice more of his initial
resources to get a good that is highly valued by others, and much
less if he bids for something that is not so popular. However, such
an auction could satisfy the envy-test only if there were no great
differences among people in respect of their personal abilities
and talents. Since this is not so, and since Dworkin wants to prevent
that anyone suffers or profits because of his (undeserved) natural
abilities, a new procedure must be introduced. Thus, the auction
is supplemented by insurance. That is, it is supposed that people
in the moment of auction do not know whether they have some mental
of physical handicap, whether talents they posses are in demand
on the market or not, and the like. In such circumstances everyone
rational would like to buy insurance against these risks, so one
part of their initial sum intended for the auction would be used
for this purpose too. The amount invested for insurance would go
to the common fund from which those who turn to be handicapped or
insufficiently talented would be supported. The main ambition of
this theory is to remove impact (on the distribution of goods) of
the factors that are not under control of individuals and to allow
influence only of such ones that are under personal control. Dworkin's
scheme has to be implemented in practice by complex tax and money-transfer
system of the welfare state.
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