Venture capitalism has a disproportionate impact on the economy. It helps to ensure that technological innovation enriches the few and sustains jobless economic growth. Industrial policy in the hands of the government ideally creates wealth and spreads it around. Venture capitalists pick a handful of winners as part of a process of concentrating wealth in fewer and fewer hands.
The headline of the article certainly grabbed me: "White House Offers Plan to Lure Jobs Back To America." But the passage that really got me, written by the story's author Annie Lowrey, said the Obama administration's package of proposals might add up to what economists call "an industrial policy," a term, she wrote, that the White House is loathe to use. Are you kidding? Loathe to use? Could this really be true?