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Defense-related R&D as a model for “Grand Challenges” technology policies

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  • Mowery, David C.

Abstract

National defense represents a significant share of most OECD governments’ R&D budgets and an even higher share of their mission-oriented R&D spending. This public R&D investment has focused on research and innovation supporting defense missions, and in many cases the military services of these governments have purchased weapons systems incorporating the resulting technologies. Defense-related R&D investment has influenced innovation in the broader civilian economy of several OECD nations, including the United States, the United Kingdom, and France. The scope and nature of this influence remains uncertain and subject to considerable debate. Nonetheless, policymakers throughout the industrialized economies have expressed interest in “applying the lessons” of defense-related and other mission-oriented R&D programs to such challenges as climate change. This paper examines the characteristics of defense-related mission R&D programs in the industrial economies, with particular attention to the subset of nations for which reliable longitudinal data on defense R&D spending are available. I highlight the characteristics that distinguish mission-oriented R&D in this field from mission-oriented R&D in other sectors and to point out some significant differences among OECD economies in the structure of their defense-related R&D programs. The discussion also emphasizes the ways in which the unique structure of defense-related R&D limit its utility as a model for mission-oriented R&D programs aimed at other goals.

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  • Mowery, David C., 2012. "Defense-related R&D as a model for “Grand Challenges” technology policies," Research Policy, Elsevier, vol. 41(10), pages 1703-1715.
    • Handle: RePEc:eee:respol:v:41:y:2012:i:10:p:1703-1715
    DOI: 10.1016/j.respol.2012.03.027
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    4. Jean Belin & Marianne Guille & Nathalie Lazaric & Valérie Mérindol, 2019. "Defense Firms Adapting to Major Changes in the French R&D Funding System," Defence and Peace Economics, Taylor & Francis Journals, vol. 30(2), pages 142-158, February.
    5. Robinson, Douglas K.R. & Mazzucato, Mariana, 2019. "The evolution of mission-oriented policies: Exploring changing market creating policies in the US and European space sector," Research Policy, Elsevier, vol. 48(4), pages 936-948.
    6. Tor Bukkvoll & Tomas Malmlöf & Konstantin Makienko, 2017. "The defence industry as a locomotive for technological renewal in Russia: are the conditions in place?," Post-Communist Economies, Taylor & Francis Journals, vol. 29(2), pages 232-249, April.
    7. Torregrosa-Hetland, Sara & Pelkonen, Antti & Oksanen, Juha & Kander, Astrid, 2019. "The prevalence of publicly stimulated innovations –A comparison of Finland and Sweden, 1970–2013," Research Policy, Elsevier, vol. 48(6), pages 1373-1384.
    8. Cristiano Antonelli, 2017. "The derived demand for knowledge," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 26(1-2), pages 183-194, February.
    9. Gianluca Pallante & Emanuele Russo & Andrea Roventini, 2020. "Does mission-oriented funding stimulate private R&D? Evidence from military R&D for US states," Working Papers hal-04097530, HAL.
    10. Raiteri, Emilio, 2018. "A time to nourish? Evaluating the impact of public procurement on technological generality through patent data," Research Policy, Elsevier, vol. 47(5), pages 936-952.
    11. Malik, Tariq H., 2018. "Defence investment and the transformation national science and technology: A perspective on the exploitation of high technology," Technological Forecasting and Social Change, Elsevier, vol. 127(C), pages 199-208.
    12. Ciaffi, Giovanna & Deleidi, Matteo & Di Bucchianico, Stefano, 2024. "Stagnation despite ongoing innovation: Is R&D expenditure composition a missing link? An empirical analysis for the US (1948–2019)," Technological Forecasting and Social Change, Elsevier, vol. 206(C).
    13. Mazzucato, Mariana & Robinson, Douglas K.R., 2018. "Co-creating and directing Innovation Ecosystems? NASA's changing approach to public-private partnerships in low-earth orbit," Technological Forecasting and Social Change, Elsevier, vol. 136(C), pages 166-177.
    14. Joaquim José Martins Guilhoto & Paulo César Morceiro, Milene Simone Tessarin, 2016. "Productive Complex of Defense and Security in Brazil: dimension, sectoral and technological impacts," Working Papers, Department of Economics 2016_28, University of São Paulo (FEA-USP).
    15. Flink, Tim & Kaldewey, David, 2018. "The new production of legitimacy: STI policy discourses beyond the contract metaphor," Research Policy, Elsevier, vol. 47(1), pages 14-22.
    16. Pallante, Gianluca & Russo, Emanuele & Roventini, Andrea, 2023. "Does public R&D funding crowd-in private R&D investment? Evidence from military R&D expenditures for US states," Research Policy, Elsevier, vol. 52(8).
    17. Sofia Patsali, 2021. "University Procurement-led Innovation," GREDEG Working Papers 2021-13, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France.
    18. Howell, Sabrina T. & Rathje, Jason & Van Reenen, John & Wong, Jun, 2021. "Opening up Military Innovation: Causal Effects of 'Bottom-up' Reforms to U.S. Defense Research," IZA Discussion Papers 14297, Institute of Labor Economics (IZA).
    19. Iossa, Elisabetta & De Chiara, Alessandro, 2019. "Public Procurement as a Demand-side Policy: Project Competition and Innovation Incentives," CEPR Discussion Papers 13664, C.E.P.R. Discussion Papers.
    20. Yuhan Bao & Adrian Ely & Michael M. Hopkins & Xianzhe Li & Yangmu Huang, 2021. "Exploring the Antibiotics Innovation System and R&D policies in China: Mission Oriented Innovation?," SPRU Working Paper Series 2021-04, SPRU - Science Policy Research Unit, University of Sussex Business School.
    21. Dominique Foray, 2019. "On sector-non-neutral innovation policy: towards new design principles," Journal of Evolutionary Economics, Springer, vol. 29(5), pages 1379-1397, November.

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