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Behavior and Productivity Implications of Institutional and Project Funding of Research

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  • Maury E. Bredahl
  • W. Keith Bryant
  • Vernon W. Ruttan

Abstract

A behavioral model of a research scientist is utilized to develop the characteristics of the demand for institutional (lR) and project research (PR) funds. The demand analysis implies a trade-off between the allocative and productive efficiency of IR funding and the research output mix of PR funding. The model is used to evaluate the formula and competitive grant funding of U.S. agricultural research. We conclude that national research policy should be cast in terms of the relative mix of the two systems of support, not in the absolute merits of either system.

Suggested Citation

  • Maury E. Bredahl & W. Keith Bryant & Vernon W. Ruttan, 1980. "Behavior and Productivity Implications of Institutional and Project Funding of Research," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 62(3), pages 371-383.
    • Handle: RePEc:oup:ajagec:v:62:y:1980:i:3:p:371-383.
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    References listed on IDEAS

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    1. Stein, Bernard R., 1973. "Public accountability and the project-grant mechanism," Research Policy, Elsevier, vol. 2(1), pages 2-16, April.
    2. Niskanen, William A, 1975. "Bureaucrats and Politicians," Journal of Law and Economics, University of Chicago Press, vol. 18(3), pages 617-643, December.
    3. Becker, William E, Jr, 1979. "Professorial Behavior Given a Stochastic Reward Structure," American Economic Review, American Economic Association, vol. 69(5), pages 1010-1017, December.
    4. Guttman, Joel M, 1978. "Interest Groups and the Demand for Agricultural Research," Journal of Political Economy, University of Chicago Press, vol. 86(3), pages 467-484, June.
    5. William E. Becker Jr., 1975. "The University Professor as a Utility Maximizer and Producer of Learning, Research, and Income," Journal of Human Resources, University of Wisconsin Press, vol. 10(1), pages 107-115.
    6. Vernon Ruttan, 1980. "Bureaucratic productivity: The case of agricultural research," Public Choice, Springer, vol. 35(5), pages 529-547, January.
    7. Earl O. Heady, 1961. "Public Purpose in Agricultural Research and Education," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 43(3), pages 566-581.
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    2. Biggs SD. & Clay EJ., 1983. "Generation and diffusion of agricultural technology: a review of theories and experiences," ILO Working Papers 992260213402676, International Labour Organization.

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