of implementing policies and procedures. A distinction is sometimes made between rules that are dysfunctional from inception ("rules born bad"), and rules that initially served a useful function but evolved into red tape ("good rules gone bad").

Red tape can hamper the ability of firms to compete, grow, and create jobs. Research finds red tape has a cost to public sector workers, and can reduce employee well-being and job satisfaction. In 2005, the UK's Better Regulation Task Force suggested