SECTION II 

 RESEARCH IN THE NATIONAL ECONOMY 



Contents 



The Development of Industrial Research in the United Pase 



States 19 

 Factors Affecting the Development of Industrial 



Research 1 9 

 Progress in Chemistry and Physics in the 



Nineteenth Century 20 

 Foundation of Schools of Science and Tech- 

 nology 20 

 Vast Natural Resources 23 

 The Protective Tariff 24 

 Attitude of Industrialists and Scientists 24 

 Period of Unorganized Research 25 

 Early Plant Chemists 25 

 The Creation of New Industries by Indepen- 

 dent Investigators 29 

 Hyatt and Celluloid 29 

 Edison and the Electric Light 29 

 Acheson and Carborundum 31 

 Hall and Aluminum 33 

 Baekeland and Bakelite 33 

 Growth of Organized Research 34 

 Period Preceding First World War 34 

 Effect of the First World War 35 

 Organized Research a Major Industry 37 

 Some Economic and Social Aspects of Industrial 



Research 39 

 Development of Organized Research Within In- 

 dividual Companies 42 

 Chemicals 42 

 American Cyanamid Company 42 

 Dow Chemical Company 43 

 E. I. du Pont de Nemours and Company 43 

 Monsanto Chemical Company 45 

 Petroleum 45 

 Atlantic Refining Company 45 

 Gulf Research and Development Company 45 

 Humble Oil and Refining Company 45 

 Shell Development Company 46 

 Standard Oil Company of California 47 

 Standard Oil Company of Indiana 47 

 Standard Oil Company of New Jersey 48 

 Standard Oil Development Company 48 

 Universal Oil Products Company 48 

 Electrical Communication 49 

 Bell Telephone Laboratories 49 

 Western Union Telegraph Company 50 

 Electrical Machinery, Apparatus, and Supplies 51 

 General Electric Company 51 

 Westinghouse Electric Company 54 

 Rubber 55 

 B. F. Goodrich Company 55 

 United States Rubber Company 55 



Page 



Motor Vehicles 56 

 General Motors Research Corporation 56 

 Chrysler Corporation 57 

 Metals 57 

 American Brass Company 57 

 American Rolling Mil! Company 58 

 American Smelting and Refining Com- 

 pany 59 

 United States Steel Corporation 59 

 Pharmaceuticals 60 

 Abbott Laboratories 60 

 Eli Lilly and Company 60 

 Parke, Davis and Company 61 

 E. R. Squibb and Sons 61 

 Miscellaneous Industries 61 

 American Locomotive Company 61 

 Armour and Company 62 

 Swift and Company 62 

 Babcock and Wilcox Company 63 

 Bausch and Lomb Optical Company 63 

 Consolidated Edison Company of New 



York, Incorporated 65 



Eastman Kodak Company 65 



Johns-Manville Company 68 

 National Lead Company — Titanium 



Division 68 



Pittsburgh Plate Glass Company 69 



United Shoe Machinery Company 69 



Western Precipitation Corporation 70 



Research Institutes 70 



Battelle Memorial Institute 70 



Mellon Institute 71 



Other Research Institutes 72 



Commercial Laboratories 72 



Charles T. Jackson 72 



James C. Booth 72 



Arthur D. Little, Incorporated 72 



Miner Lal)oratories 73 



Other Commercial Laboratories 74 



Testing Laboratories 74 



Electrical Testing Laboratories 74 



Robert W. Hunt and Company 74 



Pittsburgh Testing Laboratory 75 

 The United States Testing Company 



Incorporated 75 



Bibliography 75 



2. Research — A Resource to Small Companies 78 



Place of Research in Small Enterprises 78 



Extent of Research in Small Enterprises 79 



Character of Research Activities 80 



Facilities for Research 80 



Dependence Upon Outside Research Agencies 82 



Benefits from Cooperative Research Activities 82 



Significance of Research to the Small Enterprise 83 



17 



