How to regulate something
A way to think about how rules are formed
Regulation is about establishing rules that maximise the benefits and minimise the risks of a particular thing.
These rules can take different forms to achieve this objective. In fact, various rule axes can shape the nature of regulation:
Top-down vs bottom-up. Rules can be drafted in a way that their interpretation is dictated either by those required to enforce them or those required to follow them. If the former, the regulation can be characterised as being more top-down, whereas if the latter it would be more bottom-up.
Risk-based vs rules-based. A risk-based approach requires that certain rules are followed if risks of a certain level or type arise. A rules-based approach requires that certain rules are followed regardless of the level or type of risk.
Restrictive vs permissive. Rules with prescriptive language instruct that 'x may not do y except when z' and are therefore more restrictive by default. Rules with permissive language instruct that 'x may do y except when z' and are therefore more open by default.
Horizontal vs vertical. Where rules cover many different sectors or contexts, it is more horizontally applicable. Where rules cover only specific sectors or contexts, it is more vertical.
Exhaustive vs broad principles. Regulation can include many rules to cover as many scenarios as possible. Or they can include a few broad principles that cover most scenarios.
State-of-the-art vs novel. Rules can be based on current practices and norms evident in the field and therefore reflect the state-of-the-art. Alternatively, rules can be developed from scratch.
Regulation that is bottom-up, risk-based, permissive, vertical, with broad principles based on the state-of-the-art might be seen as less onerous and more favourable to those that need to comply with it.
Contrastingly, regulation that is top-down, rules-based, restrictive, horizontal, exhaustive and contains novel rules might be seen as more onerous and less favourable to those that need to comply with it.
There might be more axes on which the rules of regulation could be placed. But these are some of the ways that regulation could be measured.