Economic Theory

Robert Gordon’s Cassandra World

February 28, 2014
| Blogs & Op-eds

Robert Gordon’s new paper, revising and restating his arguments from a 2012 paper, is ostensibly about slowing growth in the United States, but in fact it takes a more complicated look at the income growth for the bottom 99 percent. Unfortunately, the added complexity is built on questionable assumptions and mostly just adds layers of ambiguity and confusion. Worst, it completely misunderstands the function and role of innovation in the economy.

Close the Innovation Deficit

February 27, 2014
ITIF proudly supports Close the Innovation Deficit.

Close the Innovation Deficit is an effort by leaders of the business, higher education, scientific, and high-tech manufacturing communities who are concerned about cuts and stagnating federal investments in research and higher education at a time when other nations are pouring resources into these areas. Read more »

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New National Lab reform bill introduced by Senators Coons and Rubio is based in part on report co-authored by ITIF.

An increase of just 0.1 percent in the GDP growth rate would reduce the budget deficit by as much as $300 billion cumulatively over the next decade.

A determined focus on policies that promote growth is essential to any deficit reduction plan. Similarly, across-the-board spending cuts that hamper growth will ultimately be detrimental to deficit reduction. 

ITIF hosts Dr. William Janeway

January 10, 2014
| Blogs & Op-eds

Dr. William Janeway discussed his new book, Doing Capitalism in an Innovation Economy, at ITIF this week. Dr. Janeway, an economist and veteran venture capitalist, argued that argued that public support for innovation is critical, calling it our “national mission” for the 21st century.

Book Discussion: Doing Capitalism in the Innovation Economy

January 8, 2014 - 9:00am - 10:30am
Information Technology and Innovation Foundation
1101 K St. NW
610 A

William Janeway is one of the world's leading "theorist-practitioners" in the fields of innovation and technology. An active venture capital investor, he built and led Warburg Pincus Technology Investment, which provided financial backing to a host of successful tech companies including BEA Systems and Veritas Software.
Read more »

A Plan for Growth-Oriented Deficit Reduction

January 7, 2014 - 9:00am - 10:30am
Capitol Visitor Center
First Street, SE
SVC 212-10

The recent Congressional budget agreement, welcome as it is, just postpones rather than solves our budget challenge. Moreover, the "Washington budget consensus", based on cutting the debt by putting "everything on the table," including growth-inducing investments and tax cuts, will not lead to the budget solutions that will maximize U.S. growth. Read more »

An Innovation and Competitiveness-Centered Approach to Deficit Reduction

January 7, 2014
| Reports

The "Washington Consensus" on the federal budget process is grounded in faulty economic theory which leads to a fixation on reducing the debt and a focus on putting "everything on the table," coming at the expense of growth-inducing investments and long-term economic growth. A new approach to the budget is required to accomplish the dual goals of reducing the budget deficit and growing the economy. This report presents a series of recommendations designed to focus federal spending and tax policy on investments that promote growth while also reducing the national debt.

Time for an Innovation and Growth Budget, Not an Austerity Budget

Doing Capitalism in the Innovation Economy