Do VCs introduce risk and instability into the general economy?

Question

By funding the inorganic growth of yet-to-be proven businesses with the intent of taking them to scale, ideally to the public, does venture capital introduce systemic risk? Some of these companies have disrupted and dominated markets due to venture subsidies, not sound and profitable business models. Are VCs socializing the risk to the public?

mytailorisrich · Accepted Answer

> Some of these companies have disrupted and dominated markets due to venture subsidies, not sound and profitable business modelsThat benefits consumers who get subsidised low prices.