On Moral Hazard

In broad sense, moral hazard refers to the uncertainty in morality and social consequence caused by subject' s activity, which contains and goes beyond far from its narrow sense, namely the negative probability caused by subject' s immoral actions. To see it dialectically, moral hazard comprises the probabilities harming or benefiting the society. The moral hazard phenomena are ubiquitous, while we should focus our attention on those with straight and far-reaching influence. Moral hazard in different type, such as individual, group and social moral hazard, shows different feature too. On one hand, the uncertainty of moral hazard and the actualization of its negative probability are quite harmful to social economy, politic and culture; on the other hand, we should not neglect the positively innovative effect of moral hazard, which activates new human ideas and leads to new social environment, then motivates the progress and civilization of human society. When deeply probing into moral hazard, it is not difficult to find that the contradiction of human nature, the finitude of human cognition and the conditionality of practice itself underlie the state and direction of moral hazard. Based on the above, we can deal with actual moral hazard in basal layer and operational layer, at the same time we should improve the occasion to cope with it, so as to reduce its negative effect and augment its positive effect, to impel thing' s translation into its fine aspect.