Innovation is like looking for pieces in a jigsaw puzzle. You have to find a lot of pieces that don't match to find the one or two pieces that match.

There are two ways to think about the one percent - the Bernie Sanders way, where we're all competing for a zero-sum pie where it's just a question of negotiations. The second way, which is the one I put forward, is no, it's really innovation in a knowledge-based economy.

What is the upside of inequality? I would say that it's a deep pool of properly trained, highly motivated talent that is endeavoring to create innovation that grows our knowledge-based economy.

The United States ran the table on Internet innovations, creating companies like Google, Facebook, Microsoft, Intel, Apple, Cisco, Twitter, Amazon, eBay, YouTube, and others. Europe and Japan scarcely contributed.