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Rewarding effort

Cappelen, Alexander W.; Tungodden, Bertil
Working paper
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URI
http://hdl.handle.net/11250/162662
Date
2004-06
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  • Discussion papers (SAM) [675]
Abstract
According to liberal egalitarian ethics, individuals should be rewarded

for factors under their control, but not for factors outside

their control. A fundamental challenge to liberal egalitarian theories

of justice is how to do this without violating minimal egalitarian and

liberal requirements. The paper analyses the effects of two such requirements:

the principle of equal reward and the principle of reward

independence. The exact formulations of these principles depend on

how we interpret the concept of reward. We propose two different

definitions of reward, contrafactual and interpersonal reward, where

both can be given a general and narrow interpretation. Given this, we

show that it is impossible to establish a framework that is truly liberal

egalitarian in all respects and that a generalized version of the egalitarian

equivalent mechanism is the most plausible liberal egalitarian approach.
Publisher
Norwegian School of Economics and Business Administration. Department of Economics
Series
Discussion paper
2004:9

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