What is deregulation?

If it is a legislative matter, then for example, it is
Deregulation of leasing the pre-war property in HK with no premium (ceiling price) control, or Deregulation of FDI (foreign direct investment) in China and legal cash flow in and out is allowed, or Deregulation of mainlanders’ HK traveling.
Deregulation means letting participants in the industry and market free to act.
A government imposes no (or less) tax or tariff on any trade or business activities, therefore trade protections and subsidies are likely not found.
Participants have no entry barriers that the business operating is under perfect competition within the market and industry.

If it is a market matter, then
Market Deregulation—market is driven by orientation that would be becoming high efficient and effective. Market structure is shifting over time from high concentration to wide dispersion, or vice versa through business activities and processes of M&A and market integrations.

撤銷管制規定


Deregulation
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Deregulation is the process by which governments remove, reduce, or simplify restrictions on business and individuals with the intent of encouraging the efficient operation of markets. The stated rationale for deregulation is often that fewer and simpler regulations will lead to a raised level of competitiveness, therefore higher productivity, more efficiency and lower prices overall. Deregulation is different from liberalization because a liberalized market, while often having less and simpler regulations, can also have regulations in order to increase efficiency and protect consumer's rights, one example being anti-trust legislation. However, the terms are often used interchangeably within deregulated/liberalised industries.

Deregulation gained momentum in the 1970s, influenced not only by research at the University of Chicago and the theories of Ludwig von Mises, Friedrich von Hayek, and Milton Friedman, among others, but more importantly by that of Alfred E. Kahn. Deregulation in the US was led by President Jimmy Carter, with Kahn's input. Key legislation that was passed included: Airline Deregulation Act (24 October, 1978), Staggers Rail Act (signed 14 October, 1980), and the Motor Carrier Act of 1980 (signed 1 July 1980). The Emergency Natural Gas Act (signed 2/2/77) was a mix of regulation in response to OPEC price hikes and deregulation. The Airline Deregulation Act is a notable example. It sought to reintroduce market forces to the heavily regulated commercial airline industry. Subsequent deregulation has had mixed results.

One problem that encouraged deregulation was the way in which the regulated industries often controlled the government regulatory agencies, using them to serve the industries' interests. Even where regulatory bodies started out functioning independently, a process known as regulatory capture often sees industry interests come to dominate those of the consumer. A similar pattern has been observed with the deregulation process, itself often controlled by the regulated industries.

Negative outcomes of deregulation (such as the failure of the Savings & Loan sector of the U.S. during the 1980s) have led to limited re-regulation, and more balanced approaches to regulation that emphasize the quality of regulation over the quantity.[citation needed] That is, instead of simply removing (or adding) regulations on business, the point is to regulate business intelligently, using as sophisticated an economic theory as possible.[citation needed] Many processes labeled deregulation were actually examples of re-regulation alongside a market liberalization process taking state-owned service providers into the private sector.

One influential measure of worldwide business regulations that has inspired mostly deregulation but also in some instances increased regulations is the Ease of Doing Business Index.