Review of Research on Public Venture Capital and Its Future Prospects

The government's involvement in the venture capital industry has become the consensus of many governments in many countries or regions. However, there is no lack of doubts about the effect of public venture capital implementation in practices. With this background, this article involves the review of the foreign literature on “public venture capital”, combing the theoretical hypothesis of the investment effect of public venture capital and the results of the investment effect test, and discussing the endogenous and heterogeneous effects of the test. Finally, the future direction of public venture capital research should be developed in terms of the mixing ratio of public venture capital and private venture capital.