Frank and Ernest by Thaves for September 18, 2012
September 17, 2012
September 19, 2012
Transcript:
Bank Clerk: What made you think of us for a loan? Frank: Your reputation for risky investments!
Development of new technologies and products is always a risky investment, and many more entrepreneurs fail than succeed — but we only remember the ones that do. :).So, if a policy decision is made that some doo-dah is socially desirable — like solar energy, national defense, aeronautics and space, environmental protection, etc. — the Federal government has a perfectly legitimate role in intervening in an imperfect market that can’t accommodate short-term risk for long-term reward. (That’s probably the most common kind of market failure.) But even with the best of planning and intentions — Solyndra may not be the best example of either, of course — you’re going to have absorb the commercial failures until someone succeeds..This, incidentally, is why the notion that government should be run like a business is rubbish. If it were, it couldn’t do anything that a business wouldn’t choose to do, even when it really needs doing.