Joho the Blog » Mitt Romney’s distrust of entrepreneurship

Mitt Romney’s distrust of entrepreneurship

Mitt Romney is taking some flack for using some notoriously flaky science as his example of good science. But in the same passage he betrays a Big Corporate view of how innovation works that should cost him the support of every entrepeneurial startup in the country.

Here’s the passage from his Washington Examiner interview (with a hat tip to BoingBoing):

CARNEY: What role should government have in promoting certain industr

And keep in mind that Romney here is not talking about the auto industry specifically; rather, he is explaining why governments ought not to back entrepreneurial companies. It’s not just that governments are bad at picking winners, it’s that when the winners are startups — even when they’re way out of the prototypical garage — they’re unlikely to get past “delight.” So, wies or economic activities such as homeownership, or manufacturing, renewable energy or fossil fuel energy, eBig Corp xports, or just advanced technology? What sort of subsidies and incentives do you favor? You had some of these in Massachusetts, I know.

ROMNEY: Very limited — my answer Big Corp to your first question. I’m not an advocate of industrial policy being formed by a government. I do believe in the power of free markets, and when the government removes the extraordinary burdens that it puts on markets, why I think markets are more effective at guiding a prosperous economy than is the government.

So for instance, I would not be investing massive dollars in electric car companies in California. I think Tesla and Fisker are delightful-looking ve

And keep in mind that Romney here is nBig Corp ot talking about the auto industry specifically; rather, he is explaining why governments ought not to back entrepreneurial companies. It’s not just that governments are bad at picking winners, it’s that when the winners are startups — even when they’re way out of the prototypical garage — they’re unlikely to get past “delight.” So, whicles, but I somehow imagine that Toyota, Nissan, and even General Motors will produce a more cost-effective electric car than either Tesla or Fisker. I think it is bad policy for us to be investing hundreds of millions of dollars in specific companies and specific technologies, and developing those technologies.

I do believe in basic science. I believe in participating in space. I believe in analysis of new sources of energy. I believe in laboratories, looking at ways to conduct electricity with — with cold fusion, if we can come up with it. It was the University of Utah that solved that. We somehow can’t figure out how to duplicate it.

So, first the problem with his science remark. I understand that he’s boosting Utah. But the 1989 experiment by Stanley Pons and Martin Fleischmann was famous not only because it could not be replicated, but because it was prematurely hyped by Pons and Fleischmann before it had gone through peer review or had been replicated. (As BoingBoing points out, the Wikipedia article is worth reading.) No matter what you think of the experiment, it is a terrible example to use as proof that one appreciates basic science…unless you’re citing the rejection of the Pons-Fleischmann results, which Romney explicitly was not. The issue is not merely that Romney continues to believe in a discredited claim. The real issue is that this suggests that Romney doesn’t understand that science is a methodology, not merely the results of that methodology. That’s scary both for a CEO and for a possible president.

I’m at least as bothered, however, by Romney’s casual dismissal of entrepreneurial startups as a source of innovation: “I think Tesla and Fisker are delightful-looking vehicles, but I somehow imagine that Toyota, Nissan, and even General Motors will produce a more cost-effective electric car than either Tesla or Fisker.” “Delightful” is a dismisive word in this context, as evidenced by the inevitability of the “but” that follows it. Romney, it seems, doesn’t believe that startups can get beyond delight all the way to the manly heavy lifting that makes innovation real. For that you need the established, massive corporations.

Wow. Could there be a more 20th century vision of how a 21st century entrepreneurial economy should work?

2 Responses to “Mitt Romney’s distrust of entrepreneurship”

  1. I actually found this to be a very fair and well-reasoned interview. While I agree that it was a poor choice to reference the Pons-Fleischmann debacle, I think his point was that investing in basic research has the potential to have widespread and incredibly important benefits. Unfortunately, in this case the results cannot be duplicated. Looking at it from that perspective, I think it’s a fair example, and I certainly don’t believe that it’s proof that he doesn’t understand science.

  2. Interesting. To me it’s a couple of steps up -from saying “I believe in basic science” and pointing to climate change denial. Cold Fusion is the poster child for how science _doesn’t_ work: a premature grab for publicity. I mean, of all the examples to choose!

    I fully grant, however, that I come to that interview with little respect for Gov. Romney’s commitment to facts and truth, so I may be misreading it.

Leave a Reply


Web Joho only

Comments (RSS).  RSS icon