The belief is that during Ghost Month, ghosts and spirits, especially those ... burn food, incense, or paper-mache of goods like clothes and gold.
In Chinese culture, the seventh month of the Lunar Calendar holds special significance. ... Joss paper (, Jīn zhǐ), also known as “ghost money”
Many burn more paper money and clothing so that the ghosts can use these things in their hell society.
Similar to the offering of food, paper money or other forms of paper offering is given to the dead as a sign of filial piety and compassion.
It is common to see people burning offerings at the roadside or crossroads near their house.