Author : Mariana Mazzucato
Publisher : PublicAffairs
Total Pages : 288
This bestseller from leading economist Mariana Mazzucato â" named by the âNew Republicâ as one of the âmost important innovation thinkersâ today â" is stirring up much-needed debates worldwide about the role of the State in innovation. Debunking the myth of a laggard State at odds with a dynamic private sector, Mazzucato reveals in case study after case study that in fact the opposite situation is true, with the private sector only finding the courage to invest after the entrepreneurial State has made the high-risk investments. Case studies include examples of the Stateâs role in the âgreen revolutionâ, in biotech and pharmaceuticals, as well as several detailed examples from Silicon Valley. In an intensely researched chapter, she reveals that every technology that makes the iPhone so âsmartâ was government funded: the Internet, GPS, its touch-screen display and the voice-activated Siri. Mazzucato also controversially argues that in the history of modern capitalism the State has not only fixed market failures, but has also shaped and created markets, paving the way for new technologies and sectors that the private sector only ventures into once the initial risk has been assumed. And yet by not admitting the Stateâs role we are socializing only the risks, while privatizing the rewards in fewer hands. This, she argues, hurts both future innovation and equity in modern-day capitalism. Named one of the â2013 Books of the Yearâ by the âFinancial Timesâ and recommended by âForbesâ in its 2013 âcreative leadersâ list, this book is a must-read for those interested in a refreshing and long-awaited take on the public vs. private sector debate.
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