L. Gordon Crovitz, former publisher of the Wall Street Journal, featured my book Creative Capital in his “Information Age” column in today’s Wall Street Journal (p. A9)-calling it a “fascinating biography.”
It’s gratifying when your work gets recognized in such a respected publication. And it’s even more rewarding when readers and reviewers understand some of the big ideas that you were trying to get across in the book.
On that measure, Crovitz, totally got it. Crovitz focused his column on the government’s effort to more tightly regulate venture capital. The U.S. Treasury wants VC firms declared as systemic risks and put under tight restrictions as part of the broader re-regulation of financial firms, notes Crovitz.
In his column, Crovitz wrote that the history of American Research & Development, the venture capital firm that I profiled in the book, “is a reminder that our regulatory system, by its nature focused on avoiding risk, has a hard time dealing with investment firms whose mission is to take risks.”
To bolster his argument, he summarizes ARD’s history of run-ins with federal regulators, and quotes some of my favorite parts of the witty and wise personal memos of Georges Doriot, the visionary Harvard Business School professor who pioneered the venture capital industry as president of ARD in the 25 years after World War II.
The dangers of over-regulation is one of the primary discoveries and lessons of my research. Thanks to Crovitz for bringing that point to the attention of a much wider public.