Affect Factor Analysis of the Chinese Government Administrative Costs -- Empirical Analysis Based on the Data from 1978 to 2010

At present our government administration cost has increased year by year, its growth far beyond the growth of economic and financial. This paper makes use of SPSS software, using multiple regression analysis, conduct research on the influence factors of the governmental administractive costs, based on statistical data between 1978-2010, and make nation as a research sample. The results show: the financial revenue and expenditure level, the level of economic development, the scale of the government are the main factors affecting growth of government administrative costs, with which is positive correlation. Conclusion: The key to lower government administrative costs is to reduce administrative management fee share in the government revenue and expenditures, shrinking government scale, transforming the government functions. Key words: Government Administrative Costs; Influence Factors; Multiple Regression Analysis; Ridge Regression Analysis