The Chinese will burn paper money, incents, play fireworks, let go of lanterns and more on the 14th day of the 7th lunar month. Why? because it is a day for them to "feed ghosts" with food and drinks. Does the Chinese really believe this, we don't know, most people do it only because everyone else are doing it.
More about the "Gohst Day":
It is also called Zhōngyuán Jié (TC: 中元节, SC: 中元节)
Observed by Buddhists, Taoists, Chinese folk religion believers
Type Asian festival
Significance The opening of the gates of Hell, permitting all ghosts to receive food and drink
In the Chinese tradition, the seventh month in the Chinese calendar is called the Ghost Month (鬼月), in which ghosts and spirits come out from the lower world to visit earth. The Ghost Festival is the climax of a series of the Ghost Month celebrations. Activities at the festival include preparing ritualistic offering food, and burning hell money to please the visiting ghosts and spirits, as well as deities and ancestors. Other activities include, burying and releasing miniature paper boats and lanterns on water, which signifies "giving directions to the lost ghosts." A very solemn festival, the festival nevertheless represents a connection between the living and the dead, earth and heaven, as well as body and soul.
The Ghost Festival shares some similarities with the predominantly Mexican observance of El Día de los Muertos.
