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This article is for the legal term. For regulation of genes, see regulation of gene expression. For the regulation of sports, see Regulation of sport. For regulation in electrical systems see Voltage regulator. Regulation can be considered as law restrictions promulgated by government authority. One can consider at least two levels in democracies -- legislative acts, and implementing specifications of conduct imposed by administrative agencies through rulemaking supported by a threat of Sanctions (law) or a fine. This administrative law or implementing regulatory law is in contrast to statute or case law.

Regulation mandated by a state attempts to produce outcomes which might not otherwise occur, produce or prevent outcomes in different places to what might otherwise occur, or produce or prevent outcomes in different timescales than would otherwise occur. Common examples of regulation include attempts to control market entries, prices, wages, pollution effects, employment for certain people in certain Industry, standards of production for certain good (economics)s and Tertiary sector of industry.The economics of imposing or removing regulations relating to markets is analysed in regulatory economics.

Regulation and Statute A regulation is adopted by a public administration Regulatory Authority, approved by Office of Administrative Law (OAL), and filed with the Secretary of State and signed by the President / Governor.

A statute is passed by the legislature.

Regulation as a legal term A particular regulation as a legal term is a rule created by an Administration (government) or administrative agency or body that interprets the statutes setting out the agency's purpose and powers, or the circumstances of applying the statute.

A regulation is a form of secondary legislation which is used to implement a primary piece of legislation appropriately, or to take account of particular circumstances or factors emerging during the gradual implementation of, or during the period of, a primary piece of legislation.

Other forms of secondary legislation are statutory instruments, statutory orders, by-laws and rules. Some of these (but not all of them) need to be referred back before being implemented, to the primary legislative process.

Types of regulation Regulations, like any other form of coercion action, have costs for some and benefits for others. Efficient regulations may only be said to exist where the total benefits to some people exceed the total costs to others.

Regulations are justified using a variety of reasons and therefore can be classified in several broad categories:

• Market failures - regulation due to inefficiency. Intervention due to a classical economics argument to market failure.
• Risk of monopoly
• Collective action, or public good
• Inadequate information
• Unseen externality
• Collective desires - regulation about collective desires or considered judgements on the part of a significant segments of society
• Diverse experiences - regulation with a view of censorship or sensitivity training opportunities for the formation of diverse preferences and beliefs
• Social subordination - regulation aimed to Jim Crow or reverse discrimination social subordination of various social groups
• Endogenous preferences - regulation's purpose is to affect the development of certain preferences on an aggregate level
• Irreversibility - regulation that deals with the problem of irreversibility – the problem in which a certain type of conduct from current generations results in outcomes from which future generations may not recover from at all.
• Interest group transfers - regulation that results from efforts by self-interest groups to redistribute wealth in their favor, which may disguise itself as one or more of the justifications above.

International experience United Kingdom An example in UK is that there is primary, central government legislation covering the operations of local government, such as devolution. These functions include education, social services, leisure or provision.

In that primary legislation there are provisions to allow local authorities to legislate for themselves, within reason and under proper process, on a range of matters in their areas of responsibility. This allows the law to be effectively applied with appropriate flexibility and taking account of local factors. These are often best known by the local authority concerned.

Regulations also assist the primary legislative process, the Parliament of the United Kingdom, to avoid the potential bottleneck of the detailed implementation of all the laws it produces in all the varying circumstances throughout the land or throughout the process of their implementation.

Since 1997, central government has been working to improve regulation by applying new principles of better regulation.

France In France law, the difference between statute law, adopted by the legislative branch and regulation is of paramount importance when it comes to adoption, amendment or judicial review. The French constitution reserves a number of topics for statute law; in normal times, the executive branch may take decisions on such matters only if it has been specifically authorized by a statute to do so as secondary legislation through decrees, or if it has been specifically and rarely authorized by the legislative branch to do so as primary legislation through ordonnances. On all other matters, the executive branch is solely responsible for issuing primary legislation through decrees. Secondary or tertiary legislation may come in the form of arrêtés.

All legislation and regulation issued by the executive, including ordinances not ratified by the legislative branch, is subject to judicial review by the administrative courts, such as the Conseil d'État.

European Union European Union regulation has a general scope, and is obligatory in all its elements and directly applicable in all List of European Union member states of the European Union. Any local laws contrary to the regulation are overruled, as EU Law has supremacy over the laws of the Member States. New legislation enacted by Member states must be consistent with the requirements of EU regulations. For these reasons regulations constitute the most powerful or influential of the European Union Law.

Other forms of legislative acts of the European Union (EU) are European Union directive, European Union decision, European Union recommendations and European Union opinions.

See also

• Rulemaking
• Public administration
• Delegated legislation
• Public choice theory
• Regulator
• Federal Register
• Code of Federal Regulations

External links

• See Regulation & Governance, A new Blackwell Journal dedicated for the study of Regulation
• Reports of UK practice from the Better Regulation Commission
• A glimpse into some United Kingdom deregulatory procedures
• An Introduction to Regulation
• Regulation updates service on the UK government Business Link website
• The ECPR Standing Group on Regulatory Governance maintains a website that is dedicated to the subject
• The Mercatus Center at George Mason University has a Regulatory Studies Program
• ReguStand dedicated for helping SMEs manage regulation
• Regulatory law in the UK

Wikibooks

• b:Legal and Regulatory Issues in the Information Economy

• Lawrence A. Cunningham, A Prescription to Retire the Rhetoric of 'Principles-Based Systems' in Corporate Law, Securities Regulation and Accounting (2007)

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