One of New Zealand's top entrepreneurs says the Covid-19 pandemic is a time to take stock on what has worked and what hasn't economically. 

The Covid-19 crisis has caused venture capital to dry up - and new startups are looking to Government subsidies for support.

Rocket Lab CEO Peter Beck told Andrew Dickens the Government's shouldn't take up the role of the venture capital industry - and isn't in the position to take risks.

"You have to let nature takes its course in some respects, because when you artificially inflate or create markets, it never ends well."

Beck says that if the Government fills that role, then there would be no reason for the venture capital industry to bounce back. 

He has cautioned the Government against investing in projects that ultimately have no future. 

"If you invest in large projects and the right kind of thing, not only do you have the advantage of retaining it and building critical parts of your country, but you can end up with unreasonable outcomes, as you can end up with something with far more value than just what it means to service in the future." 

He says that the space industry is going through a similarly tough time, especially in America. 

Beck says it has enjoyed a "Very long warm summer" of capital investment, and they were always expecting a consolidation of the industry. 

However, he says the crisis provides an opportunity for re-evaluation. 

"It becomes a very target-rich environment to grow."