Prudence is one of the four cardinal virtues. Like the other three, it is a virtue that can be practiced by anyone; unlike the theological virtues, the cardinal virtues are not, in themselves, the gifts of God through grace but the outgrowth of habit. However, Christians can grow in the cardinal virtues through sanctifying grace, and thus prudence can take on a supernatural dimension as well as a natural one.
Aristotle was closer to the truth. As the Catholic Encyclopedia notes, he defined prudence as recta ratio agibilium, "right reason applied to practice." The emphasis on "right" is important. We cannot simply make a decision and then describe it as a "prudential judgment." Prudence requires us to distinguish between what is right and what is wrong. Thus, as Father Hardon writes, "It is the intellectual virtue whereby a human being recognizes in any matter at hand what is good and what is evil." If we mistake the evil for the good, we are not exercising prudence—in fact, we are showing our lack of it.
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