Battelle, R&D Magazine 2009 Funding Forecast Reflects Global Economic Turmoil
MarketWatch, December 18, 2008
According to the Battelle-R&D Magazine 2009 R&D Funding Forecast, research and development (R&D) spending in the United States will be up 1.75 percent this year, reaching nearly $383.5 billion. While it may appear to be an uptick in funding, it’s actually not. When you consider in inflation, real spending will actually decrease by nearly 1.6 percent due to a 2.9 percent decrease in federal support and a 1.3 percent decrease in industrial funding. According to the report, R&D spending can be attributed to three concepts: a tighter federal budget; industry apprehension and general recession concerns; and global competition.
Considering the state of our current economy, it’s not surprising to see slashed budgets. However, it is refreshing to know that this year’s Global R&D Funding Forecast forecasts global R&D spending to be 3.2 percent higher in 2009 than the previous year.
While these numbers aren’t all that surprising, the report does serve as a good reminder as to the effects the sluggish economy has had on R&D efforts. Starting the New Year off without bigger pockets makes for a tough year ahead, but it’s important to be optimistic, as good things will come. R&D will continue, technologies will continue to be developed and research will remain an on-going task, especially as the country continues to adapt to this evolving economic landscape.