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Essay / Research Paper Abstract
This 5 page paper looks at government spending in terms of small business with particular attention to high technology start up companies. Should government help high tech start ups or should it allow the private sector to take care of itself? That question, and others, are discussed with economic principles in mind. Bibliography lists 5 sources.
Page Count:
5 pages (~225 words per page)
File: RT13_SA224gov.rtf
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Unformatted sample text from the term paper:
for government to invest in Internet start-ups? If the primary answer is that it will help the overall state or federal economy, which in turn will help the government and
the people, then the entire venture may be too risky. Internet start ups are risky and while that is the case, not investing in the concept can be equally negligent
as other nations forge ahead and go beyond what perhaps the private sector has funding for. It is a difficult puzzle as no one wants to overlook the next Bill
Gates that might be living on a shoestring today. That said, the serious problem comes down to whether or not state governments should invest or provide subsidies to start
up companies in high technology areas, or should it let the private sector handle it, just as it handles most things? The Laissez Faire principle has been popular in the
business realm and it does appear that technology and companies that support it have enough research for R & D. There is little chance that the industry will lag behind
without subsidies or loans. At the same time, many governments are jumping on board the high technology bandwagon. Why? In a paper created by Dr Akiva Ilan (2002) and published
on a United Kingdom government web site, it was noted that in some nations, the state does support some industries through grants or assistance in terms of R & D.
These supports serve the same purpose as does seed money that is important for start ups in the industry (2002). Ilan makes a good point in that these small
companies do need money, and if the state gets on board, it could help this particular sector. Still, the question that looms large is why these start ups cannot get
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