Stian Westlake joins City Journal editor Brian Anderson to discuss the future of productivity and how institutions and policymakers can adapt to the new "intangible" economy. Throughout history, as documented in the book Capitalism Without Capital by Westlake and coauthor Jonathan Haskel, firms have invested in physical goods like machines and computers. As society has grown richer, companies have invested increasingly in "intangible" assets: research and development, branding, organizational development, and software. Today's challenge is to build the institutions and enact the policies that will maximize the new economy's potential.