Mission Economy

What's Mission Economy: A Moonshot Guide to Changing Capitalism about?

• Mission-Oriented Approach: The book by Mariana Mazzucato advocates for a mission-oriented approach to address significant societal challenges like climate change and public health crises.
• Historical Context: It draws parallels between the Apollo moon landing and contemporary challenges, emphasizing the need for ambitious goals that inspire innovation and collective action.
• Reimagining Government's Role: Mazzucato argues for a proactive government role in the economy, investing in public goods and fostering partnerships with private entities to achieve common goals.

Why should I read Mission Economy?

• Timely Relevance: The book addresses urgent global issues exacerbated by the COVID-19 pandemic, making it highly relevant for understanding the role of government and business in recovery and future resilience.
• Innovative Solutions: Mazzucato provides a fresh perspective on how to innovate within public policy, encouraging readers to rethink traditional economic theories and practices.
• Practical Framework: Readers will gain insights into how to apply mission-oriented thinking to real-world problems, equipping them with tools to advocate for change in their communities and organizations.

What are the key takeaways of Mission Economy?

• Mission-Oriented Approach: Emphasizes setting clear, ambitious missions that drive innovation and collaboration across sectors, focusing on solving complex societal problems.
• Public-Private Collaboration: Highlights the need for strong partnerships between government and business, sharing risks and rewards in pursuit of common goals.
• Rethinking Government's Role: Advocates for a reimagined role of government as an active value creator, investing in public capabilities and fostering experimentation.

How does Mission Economy redefine the role of government?

• Active Value Creator: Mazzucato argues that government should actively participate in the economy, driving innovation and shaping markets.
• Investor of First Resort: Suggests governments should be primary investors in critical areas, particularly where private sector investment is lacking.
• Focus on Public Purpose: Emphasizes prioritizing public interest and societal well-being over short-term profits, requiring a fundamental change in government interaction with the economy.

What is a mission-oriented approach as defined in Mission Economy?

• Definition: Focuses on setting clear, ambitious goals that address societal challenges, encouraging collaboration among various stakeholders.
• Examples: Cites historical examples like the Apollo program to illustrate how missions can mobilize resources and inspire collective action.
• Citizen Engagement: Engaging citizens in mission design and implementation is crucial for ensuring they reflect societal needs and values.

What are the best quotes from Mission Economy and what do they mean?

• "We cannot risk that happening again.": Reflects the urgency of learning from past crises to ensure effective and sustainable government interventions.
• "Missions should be judged by outcomes, not costs.": Advocates for evaluating success based on societal impact rather than financial expenditure.
• "The irony is that so much outsourcing has damaged governments’ abilities to structure contracts.": Highlights the pitfalls of outsourcing public services, leading to a loss of government capacity and accountability.

How does Mission Economy propose to finance missions?

• Diverse Financing Sources: Utilizes a mix of public and private financing, including grants, equity investments, and innovative procurement strategies.
• Long-Term Patient Finance: Advocates for patient finance that allows for experimentation and risk-taking, essential for fostering innovation.
• Crowding in Private Investment: Emphasizes attracting private investment by demonstrating future opportunities through public funding.

What lessons can be learned from the Apollo program in Mission Economy?

• Vision and Purpose: Driven by a clear vision and strong sense of purpose, galvanizing public and private efforts.
• Risk-Taking and Innovation: Embraced risk and fostered a culture of experimentation, showing that innovation often arises from trial and error.
• Collaboration Across Sectors: Success due to extensive collaboration between government, private companies, and academic institutions.

What are the five myths that impede progress according to Mission Economy?

• Myth 1: Businesses create value, governments only de-risk: Underestimates the significant role governments play in value creation through innovation and investment.
• Myth 2: The purpose of government is to fix market failures: Confines government to a reactive role, ignoring its potential to actively shape markets.
• Myth 3: Government needs to run like a business: Critiques this notion, emphasizing that public institutions should prioritize public value over profit motives.
• Myth 4: Outsourcing saves taxpayer money and lowers risk: Highlights failures of outsourcing, often leading to higher costs and diminished public sector capacity.
• Myth 5: Governments shouldn’t pick winners: Argues that strategic support for promising sectors is essential for innovation and growth.

How does Mission Economy redefine the relationship between public and private sectors?

• From Handouts to Co-Investment: Advocates for a shift to a model of co-investment where both sectors share risks and rewards.
• Public Purpose at the Core: Emphasizes that the relationship should focus on societal goals rather than purely commercial interests.
• Dynamic Partnerships: Calls for partnerships that adapt to changing circumstances and challenges, requiring ongoing dialogue and collaboration.

What role do citizens play in the missions outlined in Mission Economy?

• Engagement in Mission Design: Involving citizens ensures missions address real societal needs, fostering ownership and accountability.
• Collective Innovation: Citizen engagement can lead to innovative solutions that might not emerge from top-down approaches.
• Civic Excitement and Responsibility: Engaging citizens can create excitement around collective innovation, encouraging responsibility for societal challenges.

What are the challenges of implementing a mission-oriented approach according to Mission Economy?

• Complex Governance Structures: Requires new frameworks to manage complexity and uncertainty, fostering collaboration across sectors.
• Risk Aversion in Public Institutions: Highlights the tendency of public institutions to be risk-averse, which can stifle innovation.
• Avoiding Mission Capture: Risk of vested interests capturing missions for their own benefit, mitigated by diverse stakeholder engagement.