Should Government be involved in innovation?

The Economist just held a interesting online debate on whether the (US) government should be involved in innovation. See http://www.economist.com/debate/days/view/483weeblylink_new_window 

The "No government" side believes that there is in "a robust, bottom-up version of innovation that harnesses the creativity and enterprise of the many, including the "venturesome consumers".The "Pro-government" side believes government is important in spurring and shaping innovation.

Both sides believe government has a role supporting education, basic research and regulations. 

The final reader vote resulted in a split decision.