Chart 21 . Ratio of company-funded R&D expenditures 

 to net sales in selected industries: 1985 



Percent 

 4 5 



10 



All 

 manufacturing 



Chemicals 

 Ceramics 



iron and steel 



Non-ferrous 

 metals 



General 

 mactiinery 



Electrical 

 mactiinery 



Motor 

 vetiicles 



Professional 



and scientific 



instruments 



n 1 r 



Japan 

 United States 



NOTE, U.S data have been adjusted, computers have tjeen removed trom the genera! machinery classiticatton to 



electrical machinery 



SOURCE' National Science Foundation. SRS, tahle B-17 



The most R&D-intensive indus- 

 tries were not the most R&D-"mo- 

 nopolized" industries in either 

 country. In Japan, the most R&D- 

 intensive industries (pharmaceuti- 

 cals, communications and electronic 

 equipment, and professional and 

 scientific instruments) had less than 

 60 percent of their R&D accounted 

 for by the top five firms. In the United 

 States, the most R&D-intensive in- 

 dustries (professional and scientific 

 instruments, pharmaceuticals, and 

 communications and electronic 

 equipment), had 65 percent or less 

 of their R&D accounted for by the 

 top five firms. 



industrial scientists 

 and engineers 

 engaged in r&d 



Accompanying the growth of in- 

 dustrial R&D expenditures is the in- 

 crease in industrial scientists and 

 engineers engaged in R&D. In 1965, 

 there was a total of 59,000 Japanese 

 scientists and engineers engaged in 

 industrial R&D; this represented 

 about one-fifth the U.S. 348,000 full- 

 time equivalent. During the past 2 

 decades the number of Japanese in- 



dustrial R&D scientists and engi- 

 neers has increased at an average 

 annual rate of 7.1 percent, com- 

 pared to 2.5 percent for the United 

 States. Thus, by 1985 Japan em- 

 ployed 231,000 scientists and engi- 

 neers engaged in industrial R&D — 

 two-fifths as many as the 570,000 full- 

 time equivalent in the United States 

 (table B-19). Although Japan has a 

 lower absolute number of industrial 

 scientists and engineers, Japan's 1985 

 ratio of manufacturing R&D scien- 

 tists and engineers per 10,000 em- 

 ployees was 470 compared to the 400 

 full-time equivalent for the United 

 States (chart 22). 



21 



