Mariana Mazzucato, an economist, said in an interview with POLITICO that Trump's economic interventions are forming a "patchwork" capitalism rather than a coherent industrial strategy. She pointed out that the government is "showing power" by purchasing private equity, imposing high tariffs, cutting taxes, and relaxing regulations, but these measures lack purpose and direction, neither setting conditions around technological breakthroughs or strategic needs nor forming institutional combinations that support innovation. Mazzucato emphasized that historically, from Silicon Valley to defense technology, success has relied on the government setting clear tasks and providing stable, directional public investment. However, Trump's approach is "taking, not creating," which undermines the institutional foundation that nurtures American competitiveness. Mazzucato further warned that Trump's efforts to bring manufacturing back through tariffs, rather than industrial planning, would only create short-term employment, not long-term competitiveness. She criticized Trump for dismantling national laboratories, health research institutions, and industrial support systems, calling this destruction "weakening the backbone of future industries in America." In contrast, she believes that the Biden administration's CHIPS and Science Act and the Inflation Reduction Act, although imperfect, attempt to build modern industrial policies through conditional subsidies. She described Trump's approach as "opaque, with family-oriented preferences" crony capitalism, lacking transparency, unable to foster innovation, and failing to form a healthy private sector ecosystem.
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Original: www.toutiao.com/article/1848654707085387/
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