regulatory

REG-yuh-luh-tor-ee /ˈreɡjələtɔːri/
adjectiveB2GMATGREIELTS
formallegalcorporate

Relating to an authority that makes sure that companies or organizations follow rules.

Often used to describe the 'burden' of rules or the agencies (like the SEC or FDA) that enforce them.

The story behind the word. From the Latin 'regula', which was a straight piece of wood used as a ruler. Regulations are the 'straight lines' that businesses must stay within.

Word relationships

  • supervisory: Supervisory is more about watching over; regulatory is about the power to create and enforce the rules being watched.
  • unregulated: Unregulated describes a market or activity with no official rules or oversight.

Commonly confused with

  • statutory: Statutory means decided by law (passed by a legislature); regulatory means decided by a government agency.

Word family

  • regulate (verb): Control or maintain the rate or speed of a machine or process.
  • regulation (noun): A rule or directive made and maintained by an authority.

Collocations

  • regulatory body
  • regulatory framework
  • regulatory compliance

Example sentences

  • "The bank faced increased regulatory scrutiny following the market crash." Finance

Memory hook

Regulatory bodies are like 'Regulators' on a clock—they keep the system moving at the right speed. The straight line.

When not to use

Do not use for self-imposed rules; it implies an external, official power.

Fun facts

  • The term 'deregulation' became popular in the 1980s as a movement to remove government rules from industries like airlines and telecommunications.
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