The Evolutionary Policy Maker
Government plays an important role in market economies. Traditional mainstream economics claims a role in the case of market failures. Traditionally, Original Institutional Economics (OIE),1 goes a step further suggesting not only a macro economic role, but also a more interventionist government as a developer of industrial and technology policies. In this paper we highlight the role of government2 in a world as depicted in evolutionary economics. We argue that in situations of bounded rationality and radical uncertainty, government should first be a learning actor.3 Based on a case study of Dutch technology policy, we will distinguish types of learning and identify the conditions under which a learning government can be effective.