In follow-up analysis of the State of the Union address, ITIF affirmed it praise for the President's focus on competitiveness but makes the case for more robust R&D, tax, trade and energy that should included in the President's upcoming budget proposal.
- It is important to maintain funding for applied R&D in addition to basic R&D to better ensure commercialization of good ideas. The revitalization of manufacturing requires serious investment in a manufacturing technology initiative.
- Better trade enforcement must be matched with identifying China as a currency manipulator and setting higher standards in new free trade agreements.
- Corporate tax reform must expand and retain tax incentives to bolster the competitiveness of traded sectors and not be tethered to revenue neutrality. Lower effective corporate taxes should be the goal.
- Technology's role in enhancing productivity and long-term growth is critical. Support for clean energy must include robust investment in the innovation that will lead to the breakthroughs we need.