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The Entrepreneurial State: Debunking Public vs. Private Sector Myths, by Mariana Mazzucato
Download Ebook The Entrepreneurial State: Debunking Public vs. Private Sector Myths, by Mariana Mazzucato
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Review
A Financial Times, Forbes, and Huffington Post Best Book of the Year"[Mazzucato] argues persuasively that a successful, innovative society must draw on symbiotic partnerships between governmental and private entities."―Richard N. Cooper, Foreign Affairs"Conventional economics offers abstract models; conventional wisdom insists that the answer lies with private entrepreneurship. In this brilliant book, Mariana Mazzucato argues that the former is useless and the latter incomplete."―Martin Wolf, Financial Times"Mazzucato argues that long-term, patient government funding is an absolute prerequisite for breakthrough innovation.Even if you disagree with Mazzucato's argument, you should read her book. It will challenge your thinking."―Bruce Upbin, Forbes"It is one of the most incisive economic books in years."―Jeffery Madrick, New York Review of Books"Ms. Mazzucato is right to argue that the state has played a central role in producing game-changing breakthroughs, and that its contribution to the success of technology-based businesses should not be underestimated."―The Economist "A meticulously argued treatise that shows how unwise our conventional wisdom has become."―Christopher Dickey, Newsweek"Provides persuasive evidence that governments deserve more credit than private companies for the development of most important modern technologies."―Edward Hadas, Reuters"A skillful combination of the history of technology, empirical evidence, and policy analysis--the book contains a critical reading of data and arguments that run counter to established views while never falling short of offering constructive solutions."―Davide Consoli, Science"Makes an engaging, persuasive case in favor of the state, and suggests one recommend it not just as an instrument of market repair but also as a prerequisite for future prosperity."―J. Bhattacharya, Choice
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About the Author
Professor Mariana Mazzucato (PhD) holds the Chair in the Economics of Innovation and Public Value and is the Director of the Institute for Innovation and Public Purpose, University College London. The Entrepreneurial State: Debunking Public vs. Private Sector Myths was on the Financial Times 2013 Books of the Year list. She is winner of the 2014 New Statesman SPERI Prize in Political Economy, the 2015 Hans-Matthöfer-Preis, and the 2018 Leontief Prize for Advancing the Frontiers of Economic Thought. In 2013, she was named one of the three most important thinkers about innovation by the New Republic. She advises policy makers around the world on innovation-led growth and is currently a member of the Scottish Government's Council of Economic Advisors, the UN Sustainable Development Solutions Network Leadership Council, and SITRA's Advisory Panel in Finland. Her current research projects include two funded by the EC Horizon 2020 programme, Innovation-fuelled, Sustainable, Inclusive Growth (ISIGrowth) and Distributed Global Financial Systems for Society (Dolfins), and new projects on rethinking medical innovation, funded by the Open Society Foundations, and mission-oriented innovation policies with the Inter-American Development Bank (IADB). Her recent research also includes projects funded by the Ford Foundation and the Institute for New Economic Thinking, and work commissioned by NASA and the European Space Agency.She is coeditor of Rethinking Capitalism: Economics and Policy for Sustainable and Inclusive Growth and the author of The Value of Everything: Who Makes and Who Takes from the Real Economy.
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Product details
Paperback: 288 pages
Publisher: PublicAffairs; Revised edition (October 27, 2015)
Language: English
ISBN-10: 1610396138
ISBN-13: 978-1610396134
Product Dimensions:
5.4 x 1 x 8.2 inches
Shipping Weight: 8.8 ounces (View shipping rates and policies)
Average Customer Review:
4.3 out of 5 stars
101 customer reviews
Amazon Best Sellers Rank:
#20,627 in Books (See Top 100 in Books)
I'm writing this the day after the third Republican presidential debate. I doubt any of the candidates read The Entrepreneurial State, but they should have.This book debunks plenty of myths, most notably that keeping government "out" of the economy is the best way to stimulate growth in three key ways.First, it demonstrates the ways in which national governments have contributed to the success of today's iconic companies, including my beloved Apple.Second, it shows that far from "picking winners" improperly as politicians claim, public/private partnerships provide leadership for key sectors of the economy, whether that be national security (where it has been most pronounced) to environmental security (where it is arguably most needed).Third, it makes the case for an economy based on partnerships in which the state and the private sector share both the risks and the rewards for economic innovation.I would have liked the book to go even farther and look at the role such partnerships could/should play in an interdependent networked economic system, but it does enough to warrant a read by just about anyone interested in social change, including a peacebuilder like me.
The importance of the public sector as a key player in an innovative ecosystem is not often acknowledged nor well understood. In a brilliant book, the author has made the case for the public sector role persuasively. In a world that glorifies individual entrepreneurs and venture capitalists as the risk takers who drive the innovative economies, readers of this book will be led to realize that it is quite often the public sector investors who have been the true risk takers with respect to the innovations that have made the most impact on society. Another key insight provided is that when the rewards for innovation and risk taking are disproportionately allocated to those whose risks are relatively modest (i.e. venture capital) this creates an innovation system that increases inequality and is less sustainable than one which rewards risk takers (public and private) more fairly. Unless the public sector can reap rewards that recognize its role in the creation and regulation of new markets, the innovation system will be less likely to create major breakthroughs like the internet, nanotechnology, etc. The clear message of this book is that a true innovation system that is sustainable and that will create transformational change requires the full participation of the private sector and the public sector working together to do what each does best.
I first learned about this book when I heard an hourlong podcast where Mariana Mazzucato, the author, is interviewed by Stella Creasy who is a London School of Economics trained Labour Party member of parliament, about Mazzucato's research findings and policy proposals.Lately, we have been hearing some bold proposals about a Green New Deal. Many have dismissed this idea as pie in the sky. Some have supported it as crucially necessary to the survival of the planet, but have been vague as to how to actually bring this about. Well, Mariana Mazzucato, Chair in the Economics of Innovation and Public Value, and Director of the Institute for Innovation and Public Purpose at University College, London, addressed this very issue in her 2015 book, "The Entrepreneurial State." She points out that our current economy is built around fossil fuels, and that to address climate change will require a large restructuring of our basic economy. This will include building new Public-Private partnerships, and innovation that will create new jobs, new security and repair infrastructure. To accomplish this, we first have to let go of false myths we hold about the responsibility as well as the competence of the state. Mazzucato does a superb job of debunking those myths in this book. While parts of the book are fairly dense, even a non-economist like me can understand most of her points. This is a must read by anyone interested in saving the planet and by all policy makers.
In this book, Mazzucato makes the argument that the state is the best actor to be the one to make long-range investments in technology, as private actors under capitalism are too focused on short term rewards to really be able to focus on real blue ocean development.In fact, she argues, some of the more celebrated examples of private innovation can be linked to research and investment the state has made. This process of celebrating the private corporation has a way of erasing what the state has done and allows political rhetoric to attack research the state does. Her best example in the book is the Apple iPhone, where she looks at the basic research from the internet to mobile telephony to interface design that goes back to work governments did starting thirty or more years ago. I think as a reader that this example is strong enough to support her basic argument, but she also continues in the book to look at solar power as another example. Because this isn’t as widespread as the iPhone and its clones, it feels like a weaker example, even if down the road it will be more prevalent than the iPhone.
Mazzucato's analysis is absolutely brilliant and this is extremely well written. Anyone who believes that governments are useless should read this book. It really opened my eyes to the innovative aspects of government institutions, and the extent to which they are not only entrepreneurial themselves, but enable other entrepreneurs to build fortunes off of government innovation and investment. Every single online entrepreneur, for example, owes the US government a ton of gratitude - and those who will inevitably make fortunes on alternative energy will as well.
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