Excessive Paperwork and Meetings: An Example of Externality with Chinese Characteristics

Abstract

Externality refers to the economic cost or benefit that is not reflected in price. Actions with positive externality are usually in shortage, while those with negative externality are often excessive. With the aid of the externality theory, we can deepen our understanding of the problem of excessive paperwork and meetings and can find out some possible solutions. The author of this paper thinks that hidden negative externality exists in excessive paperwork and meetings, and that bargaining and restriction by social criteria and moral rules might be feasible solutions for this problem.