It's not just market mechanisms that ensure risky startups get funded. It's also decisions in government about how to tax those sorts of companies and investments, what sort of writeoffs they have available to them, what safety nets are available for people investing, etc. It's not as simple as just having the government take its hands away and let private enterprise get on with things — the government needs to actively reward the behaviour it wants to see.
There is of course a market mechanism deciding which actors achieve success — the employment market. It doesn't make sense to get rid of that. But government interventions are what fuels innovation — otherwise the market will simply stagnate as the largest entities in it capture it and prevent any growth or change from happening.
There is of course a market mechanism deciding which actors achieve success — the employment market. It doesn't make sense to get rid of that. But government interventions are what fuels innovation — otherwise the market will simply stagnate as the largest entities in it capture it and prevent any growth or change from happening.