I am not really proficient in Haskell, so this might be a very easy question.
What language limitation do Rank2Types solve? Don't functions in Haskell already support polymorphic arguments?
Do not functions in Haskell already support polymorphic arguments?
They do, but only of rank 1. This means that while you can write a function that takes different types of arguments without this extension, you can't write a function that uses its argument as different types in the same invocation.
For example the following function can't be typed without this extension because g is used with different argument types in the definition of f:
f g = g 1 + g "lala"
Note that it's perfectly possible to pass a polymorphic function as an argument to another function. So something like map id ["a","b","c"] is perfectly legal. But the function may only use it as monomorphic. In the example map uses id as if it had type String -> String. And of course you can also pass a simple monomorphic function of the given type instead of id. Without rank2types there is no way for a function to require that its argument must be a polymorphic function and thus also no way to use it as a polymorphic function.