Administration Failure of Government

Government failures can be attributed to inefficiency of public policies, low efficiency and extravagance of bureaucratic organizations while providing common goods, the internal acts, expansion, dirty deals and corruption of government and so on. The major measures to correct and prevent government failures are to reform public decision-making structure and political system, introduce competitive mechanism and improve government efficiency with market force. Analyzing government failures is not to deny government's essential role in market economy, but to point out the limitations of government conducts, define the scope, contents, methods and the strength of government's interference and avoid improper interference or over-interference which leads to the phenomena of government failures so as to help government perform the function of governing social economy perfectly.