On Administrative Reform in China from the Perspective of Building Conservation Government

The government's behaviors have to be restricted by the national budget. Thus, it needs to make certain decisions to choose the activities it should carry out to fulfill the function of achieving the maximal social welfare. Government spending involves various specific items, and the administrative cost of government operation is an important part of the government budget. Along with the constant expansion of government power and government agencies, the administrative cost also increases year by year. Therefore, streamlining government organs and reforming government executive power system can be a significant means to reduce the administrative cost and promote the construction of a conservation-minded government. In this approach, more government budget can be spent on social welfare programs.