What does deregulating mean?
Deregulating is the present participle and gerund of the verb 'deregulate', meaning to remove or reduce government regulations, restrictions, or controls from an industry, market, or area of public life. The word emerged prominently in twentieth-century economic and political discourse, particularly during periods when governments sought to open previously controlled sectors—such as airlines, telecommunications, energy, and finance—to greater competition. When a government speaks of deregulating an industry, it typically means dismantling rules governing pricing, entry, standards, or operations, often with the stated aim of increasing efficiency and lowering costs for consumers. Because regulation itself is politically contested, 'deregulating' carries strong connotations: supporters frame it as liberating enterprise and innovation, while opponents view it as stripping away protections for workers, consumers, or the environment. The term is chiefly formal and appears most often in journalism, policy debate, economics, and academic writing about markets and governance.
verb (present participle and gerund of 'deregulate')The act of removing government regulations or legal restrictions from an industry, activity, or area of economic life. As a gerund it can function as a noun denoting this process.
- (of a government or authority) removing state regulations or controls from an industry, market, or sphere of economic activity; also used figuratively for relaxing any set of formal rules.
"Deregulating the airline industry in the late 1970s transformed air travel in the United States."
"The government is considering deregulating the telecommunications sector to attract foreign investment."
"Critics argued that deregulating the banking industry had contributed to the financial crisis."
When America deregulated its airlines in 1978, airfares fell so sharply that flying went from a luxury to something ordinary families could do on a whim.
Reviewed by Deb Chak, Editor. AI-assisted content curated by RJS Tech Solutions LLP.
Etymology of deregulating
The verb 'deregulate' was formed in English by adding the prefix 'de-' (indicating removal or reversal) to 'regulate', which derives from Latin 'regulatus', the past participle of 'regulare' meaning 'to rule or direct', itself based on 'regula' meaning 'a rule or straight bar'. The prefix 'de-' comes from Latin as well, where it indicated removal or undoing. Related words sharing this root include 'regulation', 'regular', 'rule', and 'irregular', all tracing back to the same Latin source. The compound 'deregulate' gained currency in English during the twentieth century as governments increasingly debated the role of state control over markets.
Related word forms
How deregulating is actually used
Primarily used in formal, political, and economic contexts. The term carries different connotations depending on viewpoint — proponents associate it with efficiency, competition, and consumer choice, while critics link it to reduced oversight, risk-taking, and inequality. Commonly discussed in relation to specific industries such as airlines, energy, finance, and telecommunications.
Easily confused with deregulating
'Deregulating' is a verb form describing the ongoing act or process, while 'deregulation' is the noun naming the policy or resulting condition.
'Decriminalizing' removes criminal penalties for an activity, whereas 'deregulating' removes regulatory rules that govern how a lawful activity is conducted.