neregulation

Neregulation is the condition or policy stance in which formal government oversight, rules, and regulatory mechanisms are reduced or removed in a given sector. In common usage, the term is closely related to deregulation or light regulation, though it is less widely used in scholarly literature. Neregulation can occur through legislative changes, administrative orders, or court decisions that roll back previous rules or limit new ones.

Purpose and rationale: Advocates argue it can lower barriers to entry, reduce compliance costs, spur competition, and encourage innovation and economic growth. It is often pursued in industries characterized by heavy regulation and perceived inefficiency, such as transportation, telecommunications, energy, and financial services.

Potential effects and criticisms: Neregulation can increase price competition and consumer choice in the short term, but risks include reduced oversight, lower consumer protections, greater risk-taking, and potential negative externalities like environmental damage or financial instability. The net impact depends on policy design, institutional capacity, and the existence of complementary policies such as market-based incentives and robust enforcement.

Examples and debates: The United States' airline deregulation in 1978 and various telecom reforms in the 1980s and 1990s are often cited as landmark cases. Critics warn that deregulation without effective regulation can lead to monopolies or unsafe practices; supporters emphasize that well-structured deregulation can preserve protections while improving efficiency. The concept remains contested and context-specific.