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Economic Prosperity · Federal R&D · Innovation · Science Policy
The U.S. government's financial commitment to scientific research, measured as federal R&D intensity, significantly declined from 1.86% of GDP in 1986 to 0.62% in 2017, jeopardizing national innovation and long-term economic prosperity as private sector funding now dominates.
Federal R&D funding, while growing in current dollars from $2.8 billion in 1953 to $127.2 billion in 2018, has been relatively flat over the last decade and faces a proposed 9% cut for FY2021. This decline means the U.S. share of global R&D fell from 69% post-WWII to 27.7% in 2017, lagging behind countries like China and South Korea.
The private sector now funds approximately 70% of total U.S. R&D, a dramatic shift from pre-1980s federal dominance. However, the article argues that federal funding is irreplaceable, uniquely addressing market failures by supporting high-risk, use-inspired basic research and guiding innovation towards societal needs like healthcare and clean energy, which private entities often ignore.
Authors Rebecca Mandt, Kushal Seetharam, and Chung Hon Michael Cheng propose tailored communication strategies to galvanize public support for expanded federal R&D expenditures, asserting this is crucial to sustain America's economic prosperity and social well-being for decades to come.
