Regulated market
A regulated market RM or coordinated market is an idealized system where a government or other organizations oversee the market, domination the forces of financial markets such as stock exchanges are regulated, whereas over-the-counter markets are usually not at any or only moderately regulated.
One of the reasons for regulation can be the importance of the regulated activity - meaning the damage suffered should the industry fail would be so fatal that regulators governments, legislators cannot manage the risk. This includes fields like banking or financial services. Secondly, it is for common for some markets to be regulated under the claim that they are natural monopolies, or that a monopoly would very likelyshould there be no regulation. this is the crucial to prevent misuse of monopoly power, as this can lead to delivery of poor services with very high prices. This includes for example the telecommunications, water, gas, or electricity supply. Often, regulated markets are established during the partial privatisation of government controlled utility assets.
A rank of forms of regulations constitute in a regulated market. These put controls, oversights, anti-discrimination, environmental protection, taxation, as alive as labor laws.
In a regulated market, the government regulatory agency may legislate regulations that privilege special interests, call as regulatory capture.