US should fund research, not venture capital

Venture investors say no thanks. Venture capital may be the one industry that isn’t inclined to line up for a government handout. Last month, New York Times columnist Thomas Friedman suggested the government would do well to give $20 billion and give it to the top 20 US venture capital firms to produce the next wave of innovative big companies – and possibly generate returns for the taxpayers. (Friedman was contrasting this to the idea of doling out another $20 billion to General Motors and Chrysler.) Bloggers, including Michael Feinstein of Waltham-based Sempre Management, responded.

By Scott Kirsner

Full Story: http://www.boston.com/business/articles/2009/03/02/blogger_us_should_fund_research_not_venture_capital/