Why this book?
We hear so much about how government and public sector are inefficient and risk-averse. In this book Mariana Mazzucato demonstrates that, actually, governments are often the source of innovations that are then exploited by the private sector. She illustrates this by showing that all the important technologies in an iPhone were invented and developed by governments.
Developing vaccines for COVID-19 is another example where governments and public money were needed to finance the innovation.
Why should I read it?
What is this book about?
In this sharp and controversial expose, Mariana Mazzucato debunks the pervasive myth that the state is a laggard, bureaucratic apparatus at odds with a dynamic private sector. She reveals in detailed case studies, including a riveting chapter on the iPhone, that the opposite is true: the state is, and has been, our boldest and most valuable innovator. Denying this history is leading us down the wrong path. A select few get credit for what is an intensely collective effort, and the US government has started disinvesting from innovation. The repercussions could stunt economic growth and increase inequality. Mazzucato teaches us…