But significant advances in knowledge are needed in order to 

 understand these and other problems more thoroughly, and to 

 develop alternate strategies and technologies of assured effectiveness. 

 Major advances in virtually all the basic and applied sciences are 

 required for this purpose, as indicated in earlier chapters of this report. 



In addition, knowledge from the diverse scientific disciplines and 

 applied sciences needs to be synthesized and focused on the complex of 

 problems discussed earlier. Such integration could sharpen the 

 understanding of the interactions among the problems, help to 

 identify knowledge gaps and priorities for filling them, and suggest 

 directions for attacking the problems which would neither aggravate 

 related problems nor create serious new ones. 



The Nation's Research Effort 



The important role of science and technology in meeting the many 

 challenges prompts the question: Is the Nation's effort in research 

 commensurate with the magnitude and nature of the challenges? 



The current research effort, we believe, is inadequate to prepare 

 the Nation for the challenges which are now emerging and which are 

 likely to face it in the future. This conclusion is based upon 

 consideration of these challenges in relationship to recent trends in the 

 level and direction of basic and applied research, as shown by the 

 following indicators. 



1 . National expenditures (Federal and private) for basic research 

 rose by 13 percent in current dollars over the 1970-74 period, 

 but declined by 10 percent in constant dollars. i Over the same 

 period, outlays for basic research by the Federal Government 

 (the prime source of such funds) increased by 6 percent in 

 current dollars, but decreased by 15 percent in constant 

 dollars. 2 



2. National expenditures (Federal and private) for applied 

 research increased in current dollars by 21 percent between 

 1970-74, but declined in constant dollars by 3 percent. Federal 

 expenditures during this period rose by 15 percent in current 

 dollars, but fell by 8 percent in constant dollars. ^ 



3. Obligations by the Federal Government for basic research in 

 areas other than defense and space — such as health, 



1 Constant dollars, by accounting for the effects of inflation, reflect the actual level 

 of research activity more accurately than current dollars. 



2 National Patterns of R&D Resources, National Science Foundation, U.S. Government 

 Printing Office, Washington, D.C., 1975 (in press). 



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