Why Governments Should Actively Promote Technological Innovation

Abstract

Since the 1980s, neoliberal ideas have determined economic policies around the world. The, perhaps, main principle of neo-liberalism is that interference of government in the economy should be minimal. According to Johanna Bockman: “neo-liberalism is grounded on the assumption that governments cannot create economic growth or provide social welfare; rather by trying to help, governments make the world worse for everyone, including the poor”. Those able to generate growth and welfare are, instead, markets, private companies, and individuals. Many politicians and economists thus believe that the role of government should be limited to a market correction.