Regulatory economics is a field that studies how government regulations affect economic behavior and market outcomes. It examines the costs and benefits of regulations, aiming to ensure that they promote efficiency and protect public welfare. This discipline often analyzes industries like utilities, transportation, and healthcare, where regulation is common due to the potential for market failures. Researchers in regulatory economics evaluate the impact of policies on competition, pricing, and innovation. They also explore how regulations can address issues such as environmental protection and consumer safety. By understanding these dynamics, policymakers can design better regulations that balance economic growth with societal needs.