Final answer:
Washington encourages new business by fostering a pro-business climate, using policy tools such as government funding for R&D, tax incentives, and partnerships between universities and the private sector, and by offering corporate incentives like tax breaks to attract businesses.
Step-by-step explanation:
In Washington's approach to encouraging new business, the focus has traditionally been on creating a pro-business climate. This includes fostering friendly trade relations while avoiding political alliances that might entangle the nation in Europe's conflicts. Additionally, there has been a trend toward the rise of trade associations and professional organizations dedicated to advocacy among lawmakers, which streamlines the influence businesses have on policy.
The government employs various policy tools to encourage the development of new technology and foster innovation. These include direct government funding of R&D, tax incentives for R&D, protection of intellectual property rights, and the establishment of cooperative relationships between universities and the private sector.
Furthermore, state and local governments offer corporate incentives such as tax breaks and relaxation of restrictions to attract businesses that contribute to economic growth and job creation. This has been observed in the establishment of technology centers and manufacturing complexes that provide economic incentives for emerging enterprises.