Wednesday, October 29, 2014

Moral hazard

I woke up this morning and a thought popped into my head.

'Child poverty' is the new term for 'moral hazard' :
In economic theory, a moral hazard is a situation in which a party is more likely to take risks because the costs that could result will not be borne by the party taking the risk.
(Had a call from Leighton Smith's producer to ask if I'd have chat with him about child poverty on the back of the UNICEF a report and I couldn't resist dropping my thought in. He laughed.  He doesn't laugh enough. Not on air. His serious demeanour probably masks a sense of humour. Mine does.)

1 comment:

tranquil said...

Cam over at WhaleOil has made the point that "child poverty" is the new "global warming".
I agree with him.

With the lefties getting more push-back against so-called "global warming" they are now pushing the "child poverty" wheelbarrow more and more.