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Just like the terms "democracy" and "socialism," the terms "liberty" and "libertarianism" have often been corrupted by opportunists seeking to use the term to boost their own support. Today, many people claim to be "libertarian" while supporting policies and ideas that run directly contrary to the basic principles of libertarianism.
Simply put, libertarianism is a political philosophy that emphasizes the concept of liberty; that is, the freedom to do whatever one likes in life, as long as one does not intrude on the rights of others. Some libertarians (commonly referred to as social anarchists or libertarian socialists) assert that liberty goes hand-in-hand with equality, whereas other libertarians (referred to as mutualists, minarchists or anarcho-capitalists) assert that there is necessarily a certain degree of income inequality in a libertarian society, although much less than the income inequality that we have today.
The terms "libertarianism" and "anarchism" can generally be used interchangeably. Anarchists came up with the term libertarianism (originally "libertaire" in French) because the term "anarchism" is often associated with the concept of "anarchy," in the sense of disorder and chaos, leading to a negative public image of the movement. Needless to say, neither libertarianism nor anarchism advocate disorder and chaos. Rather, as Proudhon put it, anarchists and libertarians believe that "liberty is the mother, not the daughter, of order," meaning that we believe that the social order should arise from the free association of individuals in a free society rather than imposed by a minority through the use of force.
Libertarians often define themselves by what they are *against*: we are against big government, we are against neoliberal capitalism, we are against racism and nationalism, etc. However, I think libertarians should talk more about what kind of society we are striving for, in ordinary terms that the general public can understand. So here is a short and hopefully non-controversial list of libertarian policy goals: