How DoD Policy Affects Private Expenditure on Independent Research and Development


Book Description

The Department of Defense (DOD) maintains a policy that is designed to reimburse defense contractors for a portion of their spending on Independent Research and Development (IR & D). DOD pays for a great deal of research and development directly through contracts. IR & D is research and development that DOD does not contract for directly. IR & D policy is designed to encourage defense contractors to invest in this form of research and development despite the lack of direct contracts for research and development. It is often associated with Bid and Proposal (B & P) funds, which DOD provides to contractors in a similar way. Those who support maintaining the independence of IR & D argue that it increases private spending on defense research and development, provides defense options that government officials may not think of, and enhances the transfer of technology from scientists to weapons developers by giving developers a direct stake in the scientists' work. Section II presents a simple economic model of IR & D. Section III uses this model to review the economic approach taken in each study. Section IV compares the studies' estimates of the size of subsidy created by IR & D policy and the effects of IR & D policy on private spending on IR & D. Section V concludes the comparison and suggests directions for future research.







Assessing the Impact of Regulatory and Legislative Changes to the Independent Research and Development Program


Book Description

Independent Research and Development (IR & D) is research and development initiated and conducted by industry. IR & D is viewed by industry as essential to advance technology, develop new and improved products, and develop new business. Since the late 1930s, IR & D carried out by firms developing and producing defense systems has been recognized by the U.S. government as a necessary cost of defense business and at least some percentage of this cost has been reimbursed by the government. What percentage is to be reimbursed, how that percentage is determined, and what type work is to be reimbursed have all been matters of debate. The Department of Defense (DoD) IR & D Program is a vital element in the DoD's overall research and development effort aimed at ensuring U.S. forces continue to have a technological edge over any future foe. In FY 1995, reported reimbursable IR & D and Bid and Proposal (B & P) was about 12 percent of the overall DoD research and development budget. These funds enable industry to explore new technologies and next generation products.




An Overview of DOD Policy for and Administration of Independent Research and Development


Book Description

Independent research and development (IR/D) is contractor initiated and conducted research and development effort not sponsored by a contract or grant. The DOD recognizes IR/D as a normal cost of business and accepts its reasonable and allocable share of these costs. The allowability of IR/D costs and DOD policy and administration of this area have been and are controversial. This report presents an overview of DOD IR/D policy and administration. The evolution, current status, and major areas of existing controversy are highlighted. Current DOD policy appears to be a reasonable balance of the needs for good stewardship of the taxpayer's funds and the needs for a strong technological base. Major shifts in policy, whether to the more liberal extremes advocated by the industry or the more restrictive extremes advocated by Senator Proxmire and Admiral Rickover, would probably be detrimental to the best interests of the Department of Defense.




A Rand Note


Book Description




Science, the Endless Frontier


Book Description

The classic case for why government must support science—with a new essay by physicist and former congressman Rush Holt on what democracy needs from science today Science, the Endless Frontier is recognized as the landmark argument for the essential role of science in society and government’s responsibility to support scientific endeavors. First issued when Vannevar Bush was the director of the US Office of Scientific Research and Development during the Second World War, this classic remains vital in making the case that scientific progress is necessary to a nation’s health, security, and prosperity. Bush’s vision set the course for US science policy for more than half a century, building the world’s most productive scientific enterprise. Today, amid a changing funding landscape and challenges to science’s very credibility, Science, the Endless Frontier resonates as a powerful reminder that scientific progress and public well-being alike depend on the successful symbiosis between science and government. This timely new edition presents this iconic text alongside a new companion essay from scientist and former congressman Rush Holt, who offers a brief introduction and consideration of what society needs most from science now. Reflecting on the report’s legacy and relevance along with its limitations, Holt contends that the public’s ability to cope with today’s issues—such as public health, the changing climate and environment, and challenging technologies in modern society—requires a more capacious understanding of what science can contribute. Holt considers how scientists should think of their obligation to society and what the public should demand from science, and he calls for a renewed understanding of science’s value for democracy and society at large. A touchstone for concerned citizens, scientists, and policymakers, Science, the Endless Frontier endures as a passionate articulation of the power and potential of science.




Cities and Their Vital Systems


Book Description

Cities and Their Vital Systems asks basic questions about the longevity, utility, and nature of urban infrastructures; analyzes how they grow, interact, and change; and asks how, when, and at what cost they should be replaced. Among the topics discussed are problems arising from increasing air travel and airport congestion; the adequacy of water supplies and waste treatment; the impact of new technologies on construction; urban real estate values; and the field of "telematics," the combination of computers and telecommunications that makes money machines and national newspapers possible.