Putting Incentives in Context: A Reply to Penny

Abstract

Richard Penny argues that Rawls’s commitment to self-respect puts him at odds with his endorsement of unequalizing incentives. Penny draws on G.A. Cohen’s distinction between ‘lax’ and ‘strict’ readings of the difference principle to make this point. Given this, Penny concludes that Rawls faces a dilemma: either Rawls weakens his endorsement of unequalizing incentives or weakens his commitment to self-respect. By taking the difference principle in isolation, Penny creates a false dilemma. I will argue that once we place the difference principle in the context of Rawls’s theory as a whole, we find that unequalizing incentives pose no danger to the self-respect of the least advantaged. Moreover, I will argue that a strict reading of the difference principle is incompatible with the self-respect of all citizens in a well-ordered society given the fact of reasonable pluralism. My arguments reveal the importance of seeing self-respect as a threshold good, rather than a relative one.