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In this keynote lecture at the FBF Annual Conference 2025, Harvard University Prof. Josh Lerner, a leading authority on venture capital and innovation, reflects on what Europe can learn from the US to foster innovation. He explains why VC-backed innovation has caught the attention of policymakers worldwide, as well as the challenges they face in trying to recreate Silicon Valley-like ecosystems across geographies. He concludes by highlighting the importance of continuously evaluating and refining such public policies for innovation, to scale successful ones and terminate those that do not use public resources effectively. --------------------------------- Established in January 2016, the Florence School of Banking and Finance (FBF) was designed as a European platform bringing together policy makers, practitioners and academics from the banking and finance sector to develop a common culture of regulation and supervision in the European Union. The School is evolving into a knowledge centre of excellence, rooted in European origins while maintaining a global perspective. It offers policy dialogue and training courses and produces research in banking and finance. FBF is part of the Robert Schuman Centre (RSC), an inter-disciplinary research centre at the heart of the European University Institute (EUI). The EUI is the leading institute in Europe dedicated to social sciences and humanities. Visit our website for more resources: https://fbf.eui.eu/ Explore our upcoming courses: https://fbf.eui.eu/training/ Join our newsletter: https://fbf.eui.eu/contacts/