Josh Lerner, a finance professor at Harvard University, has been researching private equity and venture capital issues since the early 1990s. He spoke to Financial News about his recent book, Boulevard of Broken Dreams, in which discusses the mistakes governments have made in trying to develop venture capital industries and foster entrepreneurship in their countries – and what they should do instead.

Financial News: Your book describes the significant role played by the public sector in the history of venture investing in Silicon Valley - despite having made some mistakes. Can you give us an overview?