Because innovation today builds on innovation tomorrow... Policy makers must think very hard how to make value creation activities (done by all the collective actors in the innovation game) rewarded above value extraction activities (in this sense capital gains taxes are way too low).
Peter Thiel's book talks about this, and on the one hand it is of course very good strategy, yet it's also quite sad and pathetic, because the principle he advocates is that you should focus on capturing a market, rather than creating value.
OP is saying, if this is a logical choice for entrepreneurs to make, then policy makers have done a very bad job at structuring incentives. It would make more sense if policy set up incentives which encouraged creating value over capturing it.
Because innovation today builds on innovation tomorrow... Policy makers must think very hard how to make value creation activities (done by all the collective actors in the innovation game) rewarded above value extraction activities (in this sense capital gains taxes are way too low).
Peter Thiel's book talks about this, and on the one hand it is of course very good strategy, yet it's also quite sad and pathetic, because the principle he advocates is that you should focus on capturing a market, rather than creating value.
OP is saying, if this is a logical choice for entrepreneurs to make, then policy makers have done a very bad job at structuring incentives. It would make more sense if policy set up incentives which encouraged creating value over capturing it.