Legislation and regulation Flashcards
1
Q
Definition of legislation
A
laws to control how people and organisations behave
2
Q
Definition of regulation
A
rules,directives,government orders to control how people and oganisations behave
3
Q
What are costs of regulation and legislation?
A
- illegal products may still be available through illegal markets
- regulation needs effective policing to work well
- ->expensive–>oppurtunity cost
4
Q
What are the benefits of regulation and legislation?
A
-can be very effective at reducing negative externalities
-can change attitudes-eg passive smoking now seen
as unacceptable
