IDEAS home Printed from https://ideas.repec.org/h/spr/inschp/978-3-031-49196-2_1.html
   My bibliography  Save this book chapter

Moonshots and the New Industrial Policy: Questioning the Mission Economy

In: Moonshots and the New Industrial Policy

Author

Listed:
  • Magnus Henrekson

    (Research Institute of Industrial Economics (IFN))

  • Christian Sandström

    (Jönköping International Business School
    The Ratio Institute)

  • Mikael Stenkula

    (Research Institute of Industrial Economics (IFN))

Abstract

The 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.

Suggested Citation

  • Magnus Henrekson & Christian Sandström & Mikael Stenkula, 2024. "Moonshots and the New Industrial Policy: Questioning the Mission Economy," International Studies in Entrepreneurship, in: Magnus Henrekson & Christian Sandström & Mikael Stenkula (ed.), Moonshots and the New Industrial Policy, pages 3-28, Springer.
    • Handle: RePEc:spr:inschp:978-3-031-49196-2_1
    DOI: 10.1007/978-3-031-49196-2_1
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Paula Kivimaa & Karoline S. Rogge, 2020. "Interplay of Policy Experimentation and Institutional Change in Transformative Policy Mixes: The Case of Mobility as a Service in Finland," SPRU Working Paper Series 2020-17, SPRU - Science Policy Research Unit, University of Sussex Business School.
    2. David S. Lucas, 2019. "The political economy of the collaborative innovation bloc," The Review of Austrian Economics, Springer;Society for the Development of Austrian Economics, vol. 32(4), pages 331-338, December.
    3. David S. Lucas & Caleb S. Fuller & Ennio E. Piano & Christopher J. Coyne, 2018. "Visions of entrepreneurship policy," Journal of Entrepreneurship and Public Policy, Emerald Group Publishing Limited, vol. 7(4), pages 336-356, November.
    4. Réka Juhász & Nathan J. Lane & Dani Rodrik, 2023. "The New Economics of Industrial Policy," NBER Working Papers 31538, National Bureau of Economic Research, Inc.
    5. Daron Acemoglu, 2002. "Directed Technical Change," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 69(4), pages 781-809.
    6. Christopher John Boudreaux, 2022. "Tilting the playing field? A discourse on state-directed innovation policy," Journal of Evolutionary Economics, Springer, vol. 32(5), pages 1575-1579, November.
    7. Jeff Muldoon & Derek K. Yonai, 2023. "A wrong but seductive idea: Public choice and the entrepreneurial state," Journal of the International Council for Small Business, Taylor & Francis Journals, vol. 4(4), pages 351-361, October.
    8. Dominique Foray, 2018. "Smart specialization strategies as a case of mission-oriented policy—a case study on the emergence of new policy practices," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 27(5), pages 817-832.
    9. Philippe Aghion & Jean Tirole, 1994. "The Management of Innovation," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 109(4), pages 1185-1209.
    10. Roy Rothwell & Walter Zegveld, 1984. "An Assessment Of Government Innovation Policies," Review of Policy Research, Policy Studies Organization, vol. 3(3‐4), pages 436-444, May.
    11. Shawn Kantor & Alexander T. Whalley, 2023. "Moonshot: Public R&D and Growth," NBER Working Papers 31471, National Bureau of Economic Research, Inc.
    12. Johan P. Larsson, 2022. "Innovation Without Entrepreneurship: The Pipe Dream of Mission-Oriented Innovation Policy," International Studies in Entrepreneurship, in: Karl Wennberg & Christian Sandström (ed.), Questioning the Entrepreneurial State, pages 77-91, Springer.
    13. Kärnä, Anders & Karlsson, Johan & Engberg, Erik & Svensson, Peter, 2020. "Political Failure: A Missing Piece in Innovation Policy Analysis," Working Paper Series 1334, Research Institute of Industrial Economics, revised 21 Apr 2022.
    14. Geels, Frank W., 2004. "From sectoral systems of innovation to socio-technical systems: Insights about dynamics and change from sociology and institutional theory," Research Policy, Elsevier, vol. 33(6-7), pages 897-920, September.
    15. Anders Gustafsson & Patrik Gustavsson Tingvall & Daniel Halvarsson, 2020. "Subsidy Entrepreneurs: an Inquiry into Firms Seeking Public Grants," Journal of Industry, Competition and Trade, Springer, vol. 20(3), pages 439-478, September.
    16. Saras D. Sarasvathy, 2022. "An Effectual Analysis of Markets and States," International Studies in Entrepreneurship, in: Karl Wennberg & Christian Sandström (ed.), Questioning the Entrepreneurial State, pages 37-55, Springer.
    17. Mariana Mazzucato, 2022. "Financing the Green New Deal," Nature Sustainability, Nature, vol. 5(2), pages 93-94, February.
    18. Foray, D. & Mowery, D.C. & Nelson, R.R., 2012. "Public R&D and social challenges: What lessons from mission R&D programs?," Research Policy, Elsevier, vol. 41(10), pages 1697-1702.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Magnus Henrekson & Christian Sandström & Mikael Stenkula, 2024. "Learning from Overrated Mission-Oriented Innovation Policies: Seven Takeaways," International Studies in Entrepreneurship, in: Magnus Henrekson & Christian Sandström & Mikael Stenkula (ed.), Moonshots and the New Industrial Policy, pages 235-255, Springer.
    2. Björnemalm, Rickard & Sandström, Christian & Åkesson, Nelly, 2023. "A Public Choice Perspective on Mission-Oriented Innovation Policies and the Behavior of Government Agencies," Ratio Working Papers 366, The Ratio Institute.
    3. Björnemalm, Rickard & Sandström, Christian, 2023. "Interest groups and thefailure of transformativeinnovation policy - Insights from the ethanolcar bubble in Sweden 2003-2013," Ratio Working Papers 362, The Ratio Institute, revised 05 Sep 2022.
    4. Janssen, Matthijs J. & Abbasiharofteh, Milad, 2022. "Boundary spanning R&D collaboration: Key enabling technologies and missions as alleviators of proximity effects?," Technological Forecasting and Social Change, Elsevier, vol. 180(C).
    5. Magnus Henrekson & Christian Sandström & Mikael Stenkula, 2024. "Seven reasons why mission‐oriented innovation policies seldom work in practice," Economic Affairs, Wiley Blackwell, vol. 44(2), pages 354-362, June.
    6. Guido Cozzi & Silvia Galli, 2014. "Sequential R&D and blocking patents in the dynamics of growth," Journal of Economic Growth, Springer, vol. 19(2), pages 183-219, June.
    7. Janssen, Matthijs J. & Abbasiharofteh, Milad, 2022. "Boundary spanning R&D collaboration: Key enabling technologies and missions as alleviators of proximity effects?," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 180.
    8. Gianluca Pallante & Emanuele Russo & Andrea Roventini, 2020. "Does mission-oriented funding stimulate private R&D? Evidence from military R&D for US states," SciencePo Working papers Main hal-04097530, HAL.
    9. Guido Cozzi & Silvia Galli, 2009. "Upstream Innovation Protection: Common Law Evolution and the Dynamics of Wage Inequality," Working Papers 2009_20, Business School - Economics, University of Glasgow.
    10. Francesco Lamperti & Giovanni Dosi & Mauro Napoletano & Andrea Roventini & Alessandro Sapio, 2018. "And then he wasn't a she : Climate change and green transitions in an agent-based integrated assessment model," Working Papers hal-03443464, HAL.
    11. Lamperti, F. & Dosi, G. & Napoletano, M. & Roventini, A. & Sapio, A., 2020. "Climate change and green transitions in an agent-based integrated assessment model," Technological Forecasting and Social Change, Elsevier, vol. 153(C).
    12. Cristiano Antonelli & Federico Barbiellini Amidei, 2011. "The Dynamics of Knowledge Externalities," Books, Edward Elgar Publishing, number 13292.
    13. Bryan, Kevin A. & Lemus, Jorge, 2017. "The direction of innovation," Journal of Economic Theory, Elsevier, vol. 172(C), pages 247-272.
    14. Jin, Wei & Zhang, ZhongXiang, 2014. "Explaining the Slow Pace of Energy Technological Innovation Why Market Conditions Matter?," Energy: Resources and Markets 165758, Fondazione Eni Enrico Mattei (FEEM).
    15. Nilsson, Adriana, 2017. "Making norms to tackle global challenges: The role of Intergovernmental Organisations," Research Policy, Elsevier, vol. 46(1), pages 171-181.
    16. Francesco Cappellano & Joanna Kurowska-Pysz, 2020. "The Mission-Oriented Approach for (Cross-Border) Regional Development," Sustainability, MDPI, vol. 12(12), pages 1-17, June.
    17. Deleidi, Matteo & Mazzucato, Mariana, 2021. "Directed innovation policies and the supermultiplier: An empirical assessment of mission-oriented policies in the US economy," Research Policy, Elsevier, vol. 50(2).
    18. Matthijs J Janssen & Joeri Wesseling & Jonas Torrens & K Matthias & Caetano Penna & Laurens Klerkx, 2023. "Missions as boundary objects for transformative change: understanding coordination across policy, research, and stakeholder communities," Science and Public Policy, Oxford University Press, vol. 50(3), pages 398-415.
    19. Huguenin, Ariane & Jeannerat, Hugues, 2017. "Creating change through pilot and demonstration projects: Towards a valuation policy approach," Research Policy, Elsevier, vol. 46(3), pages 624-635.
    20. Wiarda, Martijn & Sobota, Vladimir C.M. & Janssen, Matthijs J. & van de Kaa, Geerten & Yaghmaei, Emad & Doorn, Neelke, 2023. "Public participation in mission-oriented innovation projects," Technological Forecasting and Social Change, Elsevier, vol. 191(C).

    More about this item

    Keywords

    Entrepreneurship policy; Innovation policy; Institutions; Public choice;
    All these keywords.

    JEL classification:

    • H50 - Public Economics - - National Government Expenditures and Related Policies - - - General
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • L52 - Industrial Organization - - Regulation and Industrial Policy - - - Industrial Policy; Sectoral Planning Methods
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy
    • P16 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - Capitalist Institutions; Welfare State

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:inschp:978-3-031-49196-2_1. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.