The 50 Ideas that Shaped Business Today

Deregulation

Proponents of deregulation have long argued that loosening government’s hold over industry enhances competition and efficiency, while burdensome regulations overwhelm companies in red tape and ultimately stymie growth.

The chief arguments against deregulation are that consumers can pay the price when companies or whole industries operate without independent oversight, opening the door to environmental and safety problems and even financial crises. The philosophy behind deregulation was most clearly articulated by economist Milton Friedman, who in the 1960s called for the scope of government to be “limited”.

The deregulation of US industry began in earnest under the 1980s administration of Ronald Reagan, when relaxation of rules governing ...