WHEN it came to business people in public life, economist Joseph Schumpeter was a sceptic.

"A genius in the business office may be, and often is, utterly unable outside of it to say boo to a goose — both in the drawing room and on the platform," he wrote.

This is unlikely to deter Lord Livingston of Parkhead who becomes a Government minister this week. As plain Ian he oversaw the turnaround of telecoms giant BT while also serving on Celtic Football Club's board.

As Trade Minister he will be tasked with promoting British business overseas. Such is the importance the Government purports to give this task that he was name-checked in the Chancellor of the Exchequer's Autumn Statement as George Osborne announced a boost to export financing. Lord Livingston was also part of Prime Minister David Cameron's recent trade mission to China.

The Scot is just the latest senior business figure to enter Whitehall. His dual role at the Department for Business, Innovation and Skills and the Foreign Office sees him replace former HSBC chairman Lord Green of Hurstpierpoint.

But it is not always a happy experience for business people enticed into political office, nor for those who have to work with them. Among Gordon Brown's unfortunately-monikered Goats (Government of all the talents) was former Confederation of British Industry director- general Lord Jones of Birmingham. After a brief stint as Trade Minister, he exited calling for "amateur" politicians to be relegated to junior roles in government, allowing experienced professionals, presumably like one Digby Jones, to run departments. Others simply seem to disappear without trace.

Yet, those engaged in business have long grumbled that policymakers have little knowledge of commercial life and we need more people with "real world" experience in government.

But what could we hope for by having more business people in power?

One argument is that they can bring their influence directly to bear on business-friendly policies that lead to economic expansion.

Yet the experience when business and politics get entwined is often unfortunate. Silvio Berlusconi's Italy maybe an extreme example but it does show that neither political life nor the business world gains when they get too close.

We should also be aware that not all businesses have the same interests and policies in the short-term interests of a large retailer may be to the disadvantage of a medium-sized manufacturer investing for the long term. Of more importance, I would argue, are the skills that senior businesspeople can offer. Many have experience of taking calculated risks, of fostering innovation and of project management. This is surely of value when set alongside the popular touch of the professional politician and the expertise of the career civil servant.

But the talent pool could be diversified further. Those business people entering Government tend to be from established big businesses, such as BT. It would be great to see more entrepreneurs who have built their businesses from scratch bringing their novel talents into public life.