Economic development as a public sector activity — an activity that deserves funding and support equal to other tax-supported activities — is no recent phenomenon. Economic subsidies go back to the 18
century. Unfortunately, we still do not have a clear understanding of the role of government in economic development, and we still do not have a clear understanding of what best promotes business growth. These issues have become more magnified in emerging countries where the economic development policies do not recognize the limited role that government should play.