Moonshots and the New Industrial Policy: Questioning the Mission Economy

Abstract

AbstractThe notion that society should be organized around large so-called missions has gained momentum in public debate, and the reemergence of active industrial policy across the world has been inspired by academic scholars promoting the idea of mission-oriented innovation policies (MOIPs). Besides this introductory chapter, this collective volume consists of 16 chapters distributed across 3 overarching themes: theoretical perspectives, empirical evidence, and alternative paths. The volume provides a comprehensive assessment and normative critique of the efficacy of such policies. In addition to summing up the main findings in the 16 chapters, this introduction provides some additional analysis, pins down the most important general conclusions, and suggests future research questions. Today’s economies are highly dependent on a well-functioning process of decentralized experimentation, selection, and screening. Instead of large-scale MOIPs, governments should strive to create an institutional framework that levels the playing field for potential entrepreneurs while encouraging productive entrepreneurship.