Alec Ross: State should not interfere with innovative processes

 Alec Ross: State should not interfere with innovative processes
14 September 2012

If a state encourages an innovation boom in a country, it should not intervene in innovative entrepreneurs’ activities. This point of view was expressed by Alec Ross, Senior Advisor on Innovation to the Secretary of State of the United States in the discussion on “Innovation for the Future” at the 9th Yalta Annual Meeting of YES.

“The role of government in innovations and entrepreneurship is to set them at liberty, not to intervene there. Any intervention is a cancer for entrepreneurship. No regulation or legalization is possible. If a state regulates, controls, you would not move anywhere. Instead of regulation you should create an ecosystem that liberates and supports entrepreneurship initiative. We should think not about how to regulate, but how to free, to set at liberty and support,” Alec Ross said.

A serious barrier on the way to creating an innovative model of economy is corruption. “The recent years’ practices demonstrate that the process of innovations itself can’t be stopped. People create companies literally while at school. But if you desire to found a big company, you better not enter these circles, knowing at the very start that you are to pay 15% to your political backing,” the Advisor to the Secretary of State of the United States believes.

Another problem in transition to innovation-based economy, Alec Ross considers, is the thinking of potential entrepreneurs in the “grey zone”, that is the fear to make a mistake. The situation can’s be corrected without upbringing and education reforms. “Very often we punish those who have suffered a defeat in something. This is problem not only for Ukraine, but for other parts of the world too. The USA experiences this problem as well. In this sense, the Silicon Valley may teach the entire world much. As soon as we understand that we can learn from mistakes, learn from failures, we will leave “the grey zone” and see a clear-cut path,” he noted.  

The 9th Yalta Annual Meeting entitled “Ukraine and the World: Addressing Tomorrow’s Challenges Together” takes place in Yalta at the Livadia Palace, Ukraine, from 13-16 September 2012. More than 200 leaders from politics, business and society representing more than 20 countries will discuss major global challenges and their impact on Europe, Ukraine and the world.

The President of Ukraine Viktor Yanukovych and the Prime Minister of Turkey Recep Tayyip Erdogan opened the plenary part of the 9th YES Annual Meeting on September 14. The two leaders discussed critical issues affecting the development of Ukraine and Turkey, as well as the future of a “Wider Europe” in the 21st century. Aleksander Kwasniewski, President of Poland (1995-2005) and Chairman of the Board of YES, moderated the discourse.

The overarching topic of the 9th Yalta Annual Meeting will be the key transformations that are already shaping the future of the world. Forum sessions will focus on the future of the world economy, on a new world order and its security, and on possible models for the development of capitalism. Special attention will be paid to the role of innovation and leadership in transforming the economy and society. Other topics for discussion include the future of the European Union, energy issues and the internal and external challenges facing Ukraine.

This year’s Yalta Annual Meeting will welcome, among others, Robert Zoellick, Dominique Strauss-Kahn, Condoleezza Rice, Gordon Brown, Alexei Kudrin, Alec Ross, Eric Lander, Kairat Kelimbetov, Carl Bildt, Javier Solana.

At the plenary discussions of the 9th YES Annual Meeting, Ukraine will be represented by the Prime Minister Mykola Azarov; the First Vice Prime Minister of Ukraine Valeriy Khoroshkovsky; Deputy Prime Minister and Minister of Social Policy Serhiy Tihipko; Minister of Economic Development and Trade of Ukraine Petro Poroshenko; Minister of Energy of Ukraine Yuriy Boyko; Minister for Foreign Affairs of Ukraine Kostyantyn Gryshchenko; Secretary of the National Defence and Security Council of Ukraine Andriy Klyuev.

Chrystia Freeland, Global Editor-at-Large at Thomson Reuters will moderate discussions.

The 9th Yalta Annual Meeting is streamed live on in Ukrainian and on and in English.

The official Twitter of the 9th Yalta Annual Meeting: @yes_ukraine
Hash tag: #yalta2012

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Richard Branson
Richard Branson
Founder and Chairman, Virgin Group, 9th YES Annual Meeting, 2012
«The problem of capitalism is that it does result in the extreme wealth of a few people. If those people are benevolent people, they’ll use that wealth constructively; they’ll reinvest it and do great things»