Governance and Moral Risk: New Approaches

• Main Authors: Alia Gabriela DUŢĂ, Victor Mihăiță DUȚĂ
• Format: Article
• Language: English
• Published: Universitaria Publishing House 2018-11-01
• Series: Finanţe: Provocările viitorului
• Subjects: governance; good governance; moral hazard
• Online Access: http://www.financejournal.ro/fisiere/revista/123908271808_Duta%20en.pdf

In agent theory, managers occupy a central place. The central position of managers contributed to the development of management sciences (Charreaux, 2000). Initially, agent theory emerged as a financial theory, but it quickly expanded its influence beyond the financial field (Jensen and Meckling, 1976). The theory of the agent is at the origin of new theoretical fields, for example “governance”, especially “enterprise governance”. As far as governance theory is concerned, it has allowed the renewal or extension of analyzes on economic systems (Charreaux, 2004/2005). In this context, it can be mentioned that “the most significant contributions of the TPA are found in the fields of enterprise governance, management control and human resource management” (Charreaux, 2004/2005, p. 16). Gaudin (2002, p. 10) considers that “the term governance is a way of seeing, a framework of analysis and a language to define and solve multiple problems. Moreover, governance is a clinical examination apparatus to increase performance and a mental tool for the organizational and architectural design of any economic and social entity.”