Ten Meditations on (Public) Venture Capital – Revisited

40 Pages Posted: 3 Feb 2021

See all articles by Gordon C. Murray

Gordon C. Murray

University of Exeter Business School

Date Written: November 24, 2020


This paper reflects on the policy formation process in the burgeoning area of government’s involvement venture capital finance (VC) over the two decades 2000-2020. It looks at both why and how government VC funds (GVC) have evolved. The increasingly common vehicle of ‘hybrid’ co-investment funds, which include both public and private VC investors managed by a jointly approved private fund manager, is analysed. The evolution and greater refinement of public intervention in VC markets over time is acknowledged while noting that significant operational challenges remain. There is some evidence that later iterations of GVC programmes have started to add net value which may imply a public-policy learning process. A fluctuating supply over time for venture capital finance, particularly at the earliest stages of firm formation and growth, suggests the benefits of well-designed and complementary government venture capital activity. The rubric of Ten Meditations is employed as a device to communicate both problem and prescription across the academic/policy maker divide. The paper is intended to be relevant to policy makers while grounded in robust academic research.

Keywords: Venture Capital, Entrepreneurship, Public Policy, Entrepreneurial Finance, Co-investment Funds

JEL Classification: G18, G24, G28, L26, L32, M13

Suggested Citation

Murray, Gordon C., Ten Meditations on (Public) Venture Capital – Revisited (November 24, 2020). Available at SSRN: https://ssrn.com/abstract=3736664 or http://dx.doi.org/10.2139/ssrn.3736664

Gordon C. Murray (Contact Author)

University of Exeter Business School ( email )

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