Regulatory restrictions are rules or laws set by government agencies to control how businesses and individuals operate. These restrictions aim to protect public health, safety, and the environment. For example, food safety regulations ensure that the food we eat is safe and properly labeled. These restrictions can vary widely depending on the industry and location. In the financial sector, regulations may limit how much money banks can lend or require them to maintain certain reserves. While these rules can sometimes seem burdensome, they are designed to promote fairness and stability in the marketplace.