Week 22

Systematic Abandonment and Innovation

Introduction

Each of the three sectors of society has difficulty abandoning obsolete products, services, policies, and processes.

Government often uses fiscal policy to introduce new programs in order to stimulate the economy. These programs tend to gather the support of strong lobbyists representing industrial, environmental, public policy, and community service organizations to maintain or expand them. As a result, government programs at the federal level tend to stay in place, even if the original purpose of these programs no longer exists. The inability to abandon existing programs reduces the resources available to fund new initiatives that are necessary if the United States is to remain competitive ...

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