government failure

Public sector collapse

Government failure occurs when state intervention in markets produces worse outcomes than the problem it aimed to solve.

The concept parallels market failure but applies to public policy: regulations that create perverse incentives, subsidies that distort prices, or bureaucracies that serve their own interests over the public good.

The housing shortage is a classic government failure—zoning laws meant to protect neighborhoods ended up making homes unaffordable.

Economists use the term to argue that imperfect markets don't automatically justify intervention, since governments fail too.

mismanagement

incompetence

Lack of required skill

ineptitude · misallocation · dereliction · overspending · waste · misjudgment · misgovernment · recklessness · imprudence · unpreparedness

bureaucracy

red tape

Bureaucratic obstacles to action

regulations · administrative burden · civil service · departments · agencies · officialdom · documentation · forms · permits · licensing

gridlock

deadlock

Mutual blocking, no progress

inaction · standstill · partisan divide · polarization · obstruction · filibuster · dysfunction · stagnation · shutdown · brinkmanship

corruption

bribery

Corrupt payment for influence

cronyism · kickbacks · kleptocracy · extortion · money laundering · fraud · scandal · malfeasance · patronage · self-dealing

accountability

lack of transparency

Concealment of information

cover-up · stonewalling · checks and balances · conflicts of interest · revolving door · opacity · secrecy

Opposites
government performance

government failuregood governance

Accountable, transparent institutional management

source of systemic failure

government failuremarket failure

Inefficient resource distribution

Family

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Used worldwide · Timeless · Abstract · Negative · Rated G