Uploaded May 2026 | Updated September 2026, 3 weeks ago
As global powers increasingly shape markets and take equity positions in strategic industries, the United States is facing renewed questions about its traditionally hands-off approach to the economy. Some actions under President Trump’s second term put the issue front and center as the government has taken stakes in Intel and other companies tied to semiconductors, rare earth minerals, defense manufacturing, and critical infrastructure, claiming these investments are necessary to counter China, secure supply chains, and rebuild industrial strength.
Some argue there is a middle path, where government can take a proactive stake in critical sectors before a crisis, thus strengthening national competitiveness without sliding into so-called state capitalism or undermining the free-market principles of American democracy. Others claim that government intervention should remain a true last resort, preserving a system that allows markets to determine winners and losers while guarding against dependency, inefficiency, unhealthy cronyism, and favoritism toward certain industries.
With our eyes on these companies’ stocks, we debate the question: Government as Shareholder: Proactive Competitive Strategy or Last Resort?
This debate was created in partnership with the Council on Foreign Relations and was recorded on May 18, 2026, at 6 PM.
Arguing "Proactive Competitive Strategy":
Laura Taylor-Kale, Senior Fellow for Geoeconomics and Defense at the Council on Foreign Relations and Former Assistant Secretary of Defense for Industrial Base Policy
Richard Falkenrath, Senior Fellow for National Security at the Council on Foreign Relations; MJ Chung Distinguished Chair at the School of Advanced International Studies at Johns Hopkins University
Arguing "Last Resort":
Bob Pozen, Distinguished Senior Lecturer at MIT Sloan School of Management; Former President of Fidelity Investments
Yasheng Huang, Epoch Foundation Professor of Global Economics and Management at the MIT Sloan School of Management; Author of "The Rise and the Fall of the EAST”
Emmy award-winning journalist John Donvan moderates
#government #public #private
Visit our Substack to watch more insightful debates and subscribe to our newsletter.
===================================
Subscribe on Substack: opentodebate.substack.com/
Official site: opentodebate.org/
X: twitter.com/OpentoDebateOrg
Facebook: facebook.com/BeOpentoDebate/
LinkedIn: linkedin.com/company/opentodebate/
Instagram: instagram.com/opentodebateorg/
TikTok: tiktok.com/@opentodebateorg
Open to Debate Apple Podcasts: tinyurl.com/bdzmz5xt
Open to Debate Spotify Podcasts: tinyurl.com/22tuxu7h
===================================
00:00:00 — Introduction: Government as Shareholder: Proactive Competitive Strategy or Last Resort?
00:02:35 — Meet the Debaters
00:06:39 — Opening Statement: Laura Taylor-Kale (Arguing "Proactive Competitive Strategy")
00:10:39 — Opening Statement: Bob Pozen (Arguing "Last Resort")
00:14:05 — Opening Statement: Richard Falkenrath (Arguing "Proactive Competitive Strategy")
00:17:35 — Opening Statement: Yasheng Huang (Arguing "Last Resort")
00:20:57 — Moderator Summary
00:22:44 — Would Government Ownership Damage U.S. Credibility?
00:27:48 — Can Government Successfully Shape Markets Without “Picking Winners”?
00:31:37 — Should the Government Influence Powerful Tech Companies From the Inside?
00:34:30 — Rare Earths, Strategic Vulnerability, and Industrial Policy
00:38:43 — Conflicts of Interest and Political Corruption Risks
00:40:22 — Has “National Security” Become Too Broad a Justification?
00:44:19 — Does Government Ownership Work Better in Europe?
00:49:30 — Would Government Stakes Have Helped During COVID?
00:52:32 — Could Equity Stakes Support Social Security or Medicare?
00:57:32 — Are Rare Earth Investments Just “Bad Bets”?
00:59:57 — Are Rare Earths Already a “Last Resort” Case?
01:00:44 — Where Has Government Ownership Actually Worked?
01:01:37 — What Is The Optimal Institutional Design for Government as a Shareholder?
01:04:50 — Closing Statement: Laura Taylor-Kale
01:06:10 — Closing Statement: Bob Pozen
01:08:12 — Closing Statement: Richard Falkenrath
01:10:03 — Closing Statement: Yasheng Huang
01:11:42 — Final Thoughts
01:15:02 — Voting Results
As global powers increasingly shape markets and take equity positions in strategic industries, the United States is facing renewed questions about its traditionally hands-off approach to the economy. Some actions under President Trump’s second term put the issue front and center as the government has taken stakes in Intel and other companies tied to semiconductors, rare earth minerals, defense manufacturing, and critical infrastructure, claiming these investments are necessary to counter China, secure supply chains, and rebuild industrial strength.
Some argue there is a middle path, where government can take a proactive stake in critical sectors before a crisis, thus strengthening national competitiveness without sliding into so-called state capitalism or undermining the free-market principles of American democracy. Others claim that government intervention should remain a true last resort, preserving a system that allows markets to determine winners and losers while guarding against dependency, inefficiency, unhealthy cronyism, and favoritism toward certain industries.
With our eyes on these companies’ stocks, we debate the question: Government as Shareholder: Proactive Competitive Strategy or Last Resort?
This debate was created in partnership with the Council on Foreign Relations and was recorded on May 18, 2026, at 6 PM.
Arguing "Proactive Competitive Strategy":
Laura Taylor-Kale, Senior Fellow for Geoeconomics and Defense at the Council on Foreign Relations and Former Assistant Secretary of Defense for Industrial Base Policy
Richard Falkenrath, Senior Fellow for National Security at the Council on Foreign Relations; MJ Chung Distinguished Chair at the School of Advanced International Studies at Johns Hopkins University
Arguing "Last Resort":
Bob Pozen, Distinguished Senior Lecturer at MIT Sloan School of Management; Former President of Fidelity Investments
Yasheng Huang, Epoch Foundation Professor of Global Economics and Management at the MIT Sloan School of Management; Author of "The Rise and the Fall of the EAST”
Emmy award-winning journalist John Donvan moderates
#government #public #private
Visit our Substack to watch more insightful debates and subscribe to our newsletter.
===================================
Subscribe on Substack: opentodebate.substack.com/
Official site: opentodebate.org/
X: twitter.com/OpentoDebateOrg
Facebook: facebook.com/BeOpentoDebate/
LinkedIn: linkedin.com/company/opentodebate/
Instagram: instagram.com/opentodebateorg/
TikTok: tiktok.com/@opentodebateorg
Open to Debate Apple Podcasts: tinyurl.com/bdzmz5xt
Open to Debate Spotify Podcasts: tinyurl.com/22tuxu7h
===================================
00:00:00 — Introduction: Government as Shareholder: Proactive Competitive Strategy or Last Resort?
00:02:35 — Meet the Debaters
00:06:39 — Opening Statement: Laura Taylor-Kale (Arguing "Proactive Competitive Strategy")
00:10:39 — Opening Statement: Bob Pozen (Arguing "Last Resort")
00:14:05 — Opening Statement: Richard Falkenrath (Arguing "Proactive Competitive Strategy")
00:17:35 — Opening Statement: Yasheng Huang (Arguing "Last Resort")
00:20:57 — Moderator Summary
00:22:44 — Would Government Ownership Damage U.S. Credibility?
00:27:48 — Can Government Successfully Shape Markets Without “Picking Winners”?
00:31:37 — Should the Government Influence Powerful Tech Companies From the Inside?
00:34:30 — Rare Earths, Strategic Vulnerability, and Industrial Policy
00:38:43 — Conflicts of Interest and Political Corruption Risks
00:40:22 — Has “National Security” Become Too Broad a Justification?
00:44:19 — Does Government Ownership Work Better in Europe?
00:49:30 — Would Government Stakes Have Helped During COVID?
00:52:32 — Could Equity Stakes Support Social Security or Medicare?
00:57:32 — Are Rare Earth Investments Just “Bad Bets”?
00:59:57 — Are Rare Earths Already a “Last Resort” Case?
01:00:44 — Where Has Government Ownership Actually Worked?
01:01:37 — What Is The Optimal Institutional Design for Government as a Shareholder?
01:04:50 — Closing Statement: Laura Taylor-Kale
01:06:10 — Closing Statement: Bob Pozen
01:08:12 — Closing Statement: Richard Falkenrath
01:10:03 — Closing Statement: Yasheng Huang
01:11:42 — Final Thoughts
01:15:02 — Voting Results
