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Federal Support of Applied Research: A Review of the United States Experience
Pages 37-58

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From page 37...
... S . experience over the past 20 years with federal programs chat support applied research intended to serve ache commercial marketplace.
From page 38...
... technological leadership in other key areas Ye no~cior~ of an expanded federal role in civilian technology reflected Ye Kennedy Administrationts Ilberal°ac~civist poli~cical philosophy, and presidential. advisers apparently were t20t concerned about the government ' ~ ability deco eke decisions that traditionally had been left to the marketplace.
From page 39...
... NED TECXNOLOGI CAL OPPORll~ITI ES PROM Despite its very different ideological coloration, the Nixon Administration, Music a few years later, developed a civilian technology initiative that had much in common witch the CITE. Like the Kennedy and Johnson Administrations before it, the Nixon Administration was concerned about the economic situation it faced-°sluggish economic growth, a slowdown in produc~civity growth, and an unfavorable balance of trade.
From page 40...
... Each of the programs lasted a number of years and yielded some interesting results, but not in ache Inner envisioned by the architects of the TO program. INDUSTRIAL INNOVATION ~ITLATIYES Civilian technology received relatively lit~c~le action, at least at Me Ice House level, during the Ford Administration, but interest waxed again in the iate 1970's as the Carter Administration looked for ways to respond to the Awe types of economic problems that had plagued its predecessors.
From page 41...
... AGENCY AND SECTORAL INITIATIVES A distinguishing characteristic of ache presidential initiatives described above is their broad-based origins in high-level policy discussions of the federal role in industrial innovation. While each initiative eventually honed 4n on a few specific technological sectors, all derived from an overview of the nation' industry and economy and the presumed points at which government intervention flight be of value.
From page 42...
... was established in -1974, NSF, through the RANN programs was the federal go~rernmen~c's leading agency for solar and geothermal energy R&I)
From page 43...
... ~-~vERAL FUNDING OF ALTERNATIVE EN== Ann AND DEMONSTRATION Prior to the energy crisis of the early 1970 ' a, federal involvement in energy Rho was limited mainly to civilian nuclear power. She civilian nuclear power program played a Boor role is coercing a nuclear power incus try in the United Stances.
From page 44...
... The first round of Reagan budget cuts proposed elimination of many of the projects asked drastic reductions in others. Although Congress restored okay proposed cuts, permitting some of the projec~cs to continue, 1:he Reagan Administration persis~ced, proposing similar cuts ant terminations in subsequent years.
From page 45...
... he program aimed to contribute to the Improvement of automotive technology, using capabilities of industry, universities, and the federal government, not necessarily for joint efforts j but in a coordinated manner, under supervision of a Joint oversi Ups committee. KQY C0 the program was cost-sharing by industry.
From page 46...
... Critics claim them to be studies that industry could and would have done on its own, and defenders counter that the program was des igned to support generic research ~ too far removed from Mediate applications to gain support from individual rlrms . SOME LONG-TERM SUCCESSES Several other areas of federal involvement in civilian applied research are noteworthy for operating successfully over many years without attracting the same rype of a~ctenelon as did the efforts described above .
From page 47...
... For more than a decade, NACA played a background role as ache federal R&D es tab lishment, led by the military, grew to an entire lay new scale of operations. In 1958, when ache appearance of Sputnik suddenly made space a high national priority, NACA was absorbed into ache newly formed NASA, contributing its basic structure and three aeronautical research centers (Langley, Ames, and Lewis)
From page 48...
... In the words of former Presiden~cial Science Advisor Donald Hor`.ig, "The system is probably the most successful governmen~c effort to date in s~cimulating the innovative process." Under current arrangements, the Agricultural Research Service, USDA' s in-house research agency, supports basic and applied research on plant and animal production; use and improvement of soil, water, and air resources; processing, storage, distribution, food safety, and consumer services; and human nutrition. Work includes improving availability of micronutrients in soil, improving harvesting methods, reducing food spoilage, and increasing yields.
From page 49...
... First, the need for ~ government effort is influenced heavily by the character of the agricultural industry in ache United Stances. The market system in which most producers (farmers)
From page 50...
... Drugs developed under the program are licensed deco priorate firms for commerc ial production and marice tiny a Technology- related programs at NIN have supported the development of artificial joints through R&D on problems of implant design and materials and on surgical techniques and postoperative rehabilitation. In ocher areas of technology, NIH has played a key role in ache development of such new diagnostic ~cectsniques as computerized axial tomography (CAT)
From page 51...
... Current programs include research on materials characterization, processing, and performance; fundamental measurements and standards for physical zincs of time and frequency, eempera~cure, pressure, length, mass, voltage, and electrical resistance, for such uses as industrial process control and instrument calibration; and radiation measurement, which contributes JO ache technical base for industries ranging from nuclear power to photography. A new NBS program is developing generic measurement methods and standards for industrial applications of bio~cechnology.
From page 52...
... A classic case is in microelectronics e As is well known, the advances in semiconductor technology, which led from transistors to integrated circuits deco large-scale integration, were given echoic initial impetus by the need to miniaturize components for ballistic missiles and other weapons systems. Commercial firms°-in many cases the see ones that conducted R&D under defense contracts°-subsequently employed these technologies in computers, consumer electronics, and a variety of other products.
From page 53...
... There is a kind of folklore -- used by those opposed to expanding federal civilian applied research psograms -- tha~c such programs do riot work, that they fail because they subs~citute the decisions of go~rernment bureaucra~cs for the wisdom of the marketplace. This review does not support such a position.
From page 54...
... lathe program has a good deal in common with the Cooperative Generic Technology Program of a few years ago. The capabilities of universities are being tapped to assist industry in what is expected to be a productive and mutually
From page 55...
... There are9 of course, some differences between the programs, and some political learning may have taken place in the system during the past several years. Bu~c ~ key difference is that discuss ions of the Engineering Research Centers have been pragmatic and have not hinged on issues of high policy.
From page 56...
... The Federal Role ire Applied Research and I:) evelopmene: A Policy History.
From page 57...
... 1300 16. Aeronautical Research and Technology Policy, Volume I: S,,~=rSr Report.


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