This paper examines the impact of economic and social changes on peasant ethics. Through the case study of S-village in Hubei rural areas, it is pointed out that when the structure of agricultural management is changed, the psychological situation of farmers has undergone significant changes. This has led to changes in the way farmers interact with local governments and village-level governance organizations. The case shows that although the political elites in the village can attract the external resources of the country by the mastery of the political logic, they lead to the disintegration of the village social unification and the disorder of the village order when the political logic is introduced into the village. On the other hand, the folk elite consciously maintain the community ethic and maintain the community interests in the process of market operation. The S-village case provides a solution to the change of peasant's ethic under the social and economic changes, and also implies the possible influence of macroeconomic and social change on peasant ethic and collective consciousness.