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Executive Summary
Pages 1-10

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From page 1...
... companies' decisions to locate materials research in the United States or abroad, to assess the impact of the globalization of MSE R&D on the U.S. economy and national security, and to recommend actions to ensure continued U.S.
From page 2...
... Today global MSE R&D is diversifying geographically at an accelerating rate as various other countries, including some not previously known as centers of MSE expertise, invest in the creation of their own MSE knowledge base. As a result, the relative U.S.
From page 3...
... economy of globalized MSE R&D is likely to differ across materials subfields. On the one hand, a decline in domestic MSE R&D in particular subfields might have a negative effect on domestic growth, wages, and jobs in those and other MSE R&D subfields and industries dependent on materials research.
From page 4...
... innovation that is essential to the nation's economy and national security and to facilitate continued access to the new knowledge generated by MSE R&D. The impact of the globalization of MSE R&D can be positive and large, but the risks of a negative impact for the United States remain substantial.
From page 5...
... expertise may not be sufficient to recognize foreign innovation and maximize its integration. Maintaining access to current MSE R&D will require active management, which in turn requires that the nation's public policy and government leaders ensure development of a national strategy that allows the United States to benefit from all that the globalization of MSE R&D has to offer.
From page 6...
... national strategy for effective development and use of MSE R&D, the following elements should be considered: · Identifying in MSE R&D across the defense services and other relevant national security agencies programmatic linkages that will facilitate a coor dinated approach to answering critical questions across the subfields of MSE and assessing the readiness of R&D programs to do so, analyzing domestic readiness to provide critical MSE capabilities, and developing rec ommendations on the role that international and transnational MSE R&D might play; · Defining (1) immediate priorities for which programmatic directions are clear and (2)
From page 7...
... Addressing wider national security concerns effectively will benefit from the highest level of coordination and cooperation within DOD and between relevant federal agencies; from ongoing assessment of existing critical technology lists, contractual arrangements, and R&D funding procedures; and from the definition of longer-term goals and challenges for MSE R&D. In the rapidly evolving environment for MSE R&D, how should the nation's regulatory regime take into account the realities of R&D in the 21st century?
From page 8...
... Building a national strategy to ensure U.S. leadership in and access to advances in globalized MSE R&D will require specific efforts, and in this connection, the committee offers five more recommendations: 4OECD, Education Statistics and Indicators, Education at a Glance 2002, available at http:// www.oecd.org/education.
From page 9...
... RECOMMENDATION ON ESTABLISHING LONG-TERM SECURITY NEEDS AND CHALLENGES The Department of Defense should strengthen current systems for establishing clearly the materials needs of the 21st century warfighter as well as those essential to achieving national and homeland security priorities. Efforts in this regard should focus not on meeting the shorter-term acquisition needs of the military, but rather on identifying and prioritizing the longer-term questions and challenges that MSE R&D will have to address in order to meet identified long-term U.S.
From page 10...
... This report's recommenda tions offer a framework for the development of a robust strategy aimed at ensuring a positive impact for the United States and continued access in the future to cutting-edge MSE R&D worldwide.


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