Concept

Regulation versus Deregulation


Market regulation is a hotly debated issue within both political and financial forums. The stakes are always high and there are lobbyists on each side of the fence, promoting their own side’s agenda and detracting from their opponent’s. Politicians who have the ability to enact or repeal the regulation also have constituents to whom they answer, so political agendas often hold sway when much-needed regulation runs against campaign promises.

In this section, we examine the ‘pros and cons’ of regulation and deregulation. Rather than trying to convince you of a particular view, this section simply aims to equip you with facts that apply to both sides of the argument in order to make an informed decision in a given context.

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