Silicon Valley News

Monday, February 23, 2009

Editor's Choice: Friedman challenges stimulus package goals

Valley Buzz writer Sarah Lacy and New York Times columnist Thomas Friedman have entered the stimulus package fray. Friedman recently bemoaned the government bailout of failed enterprises such as General Motors and Chrysler. He thinks stimulus funds would be better spent supporting venture capital firms. "As we invest taxpayer money," says Friedman, "lets do it with an eye to starting a new generation of biotech, info-tech, nanotech and clean-tech companies."
Lacy strongly disagrees with Friedman. The Valley Buzz columnist suggests that venture capitalists understand how to operate during an economic crisis and would not benefit from what she sees as wasteful intervention.