"The state needs to enable the markets, but - contrary to the dreams of planners and technocrats - development cannot be ‘state-managed’. For the business environment to lead to innovation, the state needs to protect ‘public goods’ such as: 1) competition; and more broadly 2) the entrepreneurial spirit. Policymakers must achieve a practical, dynamic balance in the state-market mix".

Innovation is not only about smart people thinking about creating goods or services; it must include a regulatory framework which helps these ideas translate into reality.”

The private sector has to do more, they have to do it faster, and there needs to be targets,”

Capitalist development requires, as a precondition, that the state foster a general sociopolitical and legal framework conducive to market relationships. An environment of security of property and predictability is basic to encourage investment; in turn, this requires political stability and a minimum degree of social harmony.

Everything we hope to do, depends on an expanding economic pie. And only a vibrant, competitive, thriving private sector can create that. Government is a necessary partner, but it is the junior partner. Only the private sector can produce the revenues for the social programs that we Democrats care so much about. The financing of those programs through ever more public debt violates our generation responsibility.

"The existence of a free market does not of course eliminate the need for government. On the contrary, government is essential both as a forum for determining the "rule of the game" and as an umpire to interpret and enforce the rules decided on."

If education should be salvaged in this country we cannot leave it to the government alone. There has to be an inclusion of the private sector.

The government can do a lot more to ensure that there is a sustainable environment for the private sector to flourish.

The existence of a free market does not of course eliminate the need for government. On the contrary, government is essential both as a forum for determining the 'rule of the game' and as an umpire to interpret and enforce the rules decided on.

"The existence of a free market does not of course eliminate the need for government. On the contrary, government is essential both as a forum for determining the "rules of the game" and as an umpire to interpret and enforce the rules decided on. What the market does is to reduce greatly the range of issues that must be decided through political means, and thereby to minimize the extent to which government need participate directly in the game."

To recover, a key driver in our economy is the private sector. Enabling the private sector to grow and increase public-private partnerships in development projects, as well as creating a suitable environment for entrepreneurs and innovators to thrive and grow, is of high priority to the government, as this reflects positively on the economy.

I react to what is necessary. I would like to eschew any formula. There are some things where the government is absolutely inevitable, which we cannot get along without comprehensive state action. But there are many things — producing consumer goods, producing a wide range of entertainment, producing a wide level of cultural activity — where the market system, which independent activity is also important, so I react pragmatically. Where the market works, I'm for that. Where the government is necessary, I'm for that. I'm deeply suspicious of somebody who says, "I'm in favor of privatization," or, "I'm deeply in favor of public ownership." I'm in favor of whatever works in the particular case.

So we need to have a state; the market cannot do everything. In particular, the market cannot arise spontaneously: it must be created, and its fundamental rules must be enforced, by the state. People have tried to square this circle in hundreds of different ways, but no matter how you run the numbers, the results always come back the same: You can’t get a market economy out of self-interest alone. What is required—and what self-interest cannot provide—is an honest enforcement agency to impose Hume’s three “fundamental laws”: to protect private property, to ensure the voluntariness of exchange, and to enforce contracts. This enforcement agency must remain neutral among the rival parties; its services cannot simply be available to the highest bidder. In order for its threats to be credible, the enforcement agency must be motivated by some principled commitment to ensuring respect for the law.

That’s the way government and the private sector ought to work together,