Staring in 2022, a provision in the 2017 Tax Cuts and Jobs Act will require companies to start amortizing their R&D investments over five years instead of expensing them in the same year they incur the costs. Congress should repeal the rule before it takes effect. Otherwise, companies will do less research in the United States, jobs will be lost, and U.S. competitiveness will suffer.
Science and R&D
November 16, 2020
Fact of the Week: The Share of Global Research Dedicated to U.N. Development Goals Tripled Over the Past 20 Years
A report by the tech research company Digital Science found that, in 2019, 500,000 publications or 10 percent of the world’s total, related to the 17 sustainable development goals (SDGs) outlined by the United Nations.
November 9, 2020
Fact of the Week: A Dollar of Government Investment in Innovation Produces $4 to $20 in Social Returns
A new study finds that every dollar invested in innovation returns four dollars in social benefits.
November 7, 2020
The president-elect’s overall approach to technology and innovation policy appears to be formulated to engage the government as an active partner alongside industry in spurring innovation—but also as a tougher regulator of many tech industries and technologies.
November 2, 2020
The United States has no national, coordinated innovation policy system. In fact, its overall innovation system has been deteriorating. The country’s economic future and national security will depend on rising to the challenge of addressing this problem.
October 26, 2020
Federal spending on R&D has spurred job creation, directly and indirectly supporting more than 1.6 million jobs in 2018, according to a recent report that PWC prepared for Breakthrough Energy.
September 28, 2020
Tech policy broadly defined becomes more important each presidential election, and this one is no different. As it has in every cycle since 2008, ITIF provides a side-by-side comparison of the nominees’ positions on key issues related to the progress of technological innovation.
September 8, 2020
The United States continues to fall far behind comparable countries in the level of tax support it provides to spur research and development. Increasing the R&D credit would boost American’s real incomes through innovation, productivity, and competitiveness.
August 25, 2020
The scholarly evidence finds that public R&D “crowds in” private R&D—with increases in public R&D on average leading to greater, not less, business R&D.
August 10, 2020
Fact of the Week: Counties That Received Large Public R&D Investments in WWII Went on to Produce 30 Percent More Patents in 1970
A new study finds that prior to the war, patenting in counties that received large amounts of OSRD funding had been in line with other counties, but then they diverged significantly, increasing patenting by 30 percent in 1970 relative to other counties.
July 6, 2020
Fact of the Week: Doubling the Number of Public Sector Researchers Can Increase Productivity Growth By Up to 21 Percent
A new study examines the number of researchers in the public and private sectors between 1981 and 2017 across 20 OECD countries, finding that a doubling of private researchers increases productivity growth by 4.3 to 7.2 percent, while doubling public researchers increases productivity growth by 6.1 to 20.6 percent.