Compliance costs measured in terms of time and financial resources significantly underestimate the bureaucratic burden on companies. At least as important, if not more so, are the so-called psychological costs arising from a wide range of emotional strains associated with fulfilling bureaucratic obligations, which can sometimes have serious real-economic as well as more atmospheric consequences for companies.
Policy Brief "Entrepreneurship in Focus" | 2025 Psychological costs as a key factor in the bureaucratic burden on businesses
Holz, M.; Icks, A.; Schlömer-Laufen, N.; Schneider, S.; Reiff, A. (2025): Psychologische Kosten als zentraler Bestandteil der Bürokratiebelastung von Unternehmen, in: FGF-Forschungsnetzwerk Entrepreneurship, Innovation und Mittelstand e.V. und IfM Bonn: Policy Brief "Unternehmertum im Fokus" 6/25, Bonn.