In the free market if you're a venture capitalist and your job is picking winners and you fail you've got to find another career. It's a self correcting mechanism.

If you're a Fed whose job is picking winners and you fail there aren't any negative consequences for it.

I think these guys are being selective with history to make their case. There's a role for government in regulation. Government can even encourage certain industries like the $7,500 tax rebates on electric cars but not in deciding who wins and who loses. There's a role for government in financing basic research that leads to breakthroughs.

More often dying dinosaurs use campaign contributions and lobbying to protect their companies and we can agree that is wrong.

If you're an immigrant who lacks money and political connections your startup shouldn't be held back in favor of inferior technology by a Fed trying to pick winners.