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Management Lecture 10 – Providing Financial AdviceRegulationBroad definition: Gvmt intervention in firm decisions/market outcomesNarrow definition: Focus on administrative regulation, “economic regulation”, health/safety/risk, environmentalTypes of regulation: economic regulation, environmental/health/safety regulationEconomic rationale for regulatory interventions, market failureNatural monopoly (oligopoly)incomplete or missing marketsinformation failures, transaction costs, bounded rationalityA strong financial planning industry is important to all sectors of.