This academic article reviews the history and evolution of the U.S. venture capital model, arguing that despite cycles and criticisms, the core VC structure remains fundamentally sound. It contextualizes historical patterns of investment, fund commitments, and returns, and dispels claims that the VC model is broken, positioning it instead as a resilient institution that continues to efficiently finance innovation.

Provides a rigorous retrospective on why VC has endured and how it has adapted across cycles, making it essential for understanding the structural drivers of venture markets and why VC remains integral to financing innovation.