Innovation is important. It is what most people in government, the civil servants and politicians, love. It is also what businesses love. Innovation creates a better opportunity to serve customers. But who is responsible for innovation and what is needed to push innovations forward?
According to some, it is the government. Who can stimulate innovation and push the usage of new products and services? This is the government.
Well, it will be no surprise I don’t agree with those who support this idea.
It is not that the government can’t have any positive role in innovations. The internet is a military invention and the development of a proper search algorithm for the army led to the spin-off Google.
But there are some questions we need to raise on this topic.
First of all, there is a question about how the government is funding itself.
When the government is moving towards a direction. When they decide to facilitate innovation, it needs to pay for this. By doing this they just take the money from the wealth creation sectors of the economy.
So it is far to say that it is just taking opportunities for wealth creation away.
Another point we need to address is who determines what to do research for and whatnot. Most government innovations come from the most wasteful thing they invented: war.
Every moment the government takes something it is not returning something of value in exchange for it. If we look at innovation it is just better to allow entrepreneurs to create value, than to ask the government to cause more destruction.
So if the government, bureacrats, and politicians love innovation, please stay out of it and reduce the tax burden on society. It will be the best thing possible to do for the world.