Istituto Superior Tecnico Lisbon November 4, 2012 Science and technology policy.

1. Istituto Superior Tecnico Lisbon November 4, 2012 Science and technology policy. An old and new issue Giorgio Sirilli CERIS - CNR

2. Science and technology policy A history which starts after WW2 1940s 2010s competitiveness social needs innovation science technology jobs

3. Science and technology policy Report “Science the Endless Frontier” 1945 (Vannevar Bush)

4. Science the Endless Frontier Concerns - Military security • Health Solution • Science policy “The Government is particularly fitted to perform certain functions, such as the coordination and support of broad programs on problems of great national importance” “Scientific progress on a broad front results from the play of free intellects, working on subjects of their own choice, in the manner dictated by their curiosity fro exploration of the unknown. Freedom of inquiry must be preserved under any plan for Government support of science”

5. Science the endless frontier “Publicly and privately supported colleges and universities and the endowed research institutes must furnish both the new scientific knowledge and the trained research workers. It is chiefly in these institutions that scientists may work in an atmosphere which is relatively free from the adverse pressure of convention, prejudice, or commercial necessity. At their best they provide the scientific worker with a strong sense of solidarity and security, as well as a substantial degree of personal intellectual freedom.” “Industry is generally inhibited by preconceived goals, by its own clearly defined standards, and by the constant pressure of commercial necessity. Satisfactory progress in basic science seldom occurs under conditions prevailing in the normal industry laboratory.”

6. The beauty of research Jim March Our task consists of carrying out research projects which are beautiful in terms of rigor, persistence, competence, elegance, and of their grace, in such a way to avoid the plague of mediocrity which often threatens to overwhelm us.

7. Rationale for public policy • Strategic-military • Prestige (Concorde) • Need of large capitals and high risk • Support to international competitiveness of industry • Basic knowledge with long term benefits • Non appropriable knowledge • Sectors characterised by small firms (agriculture) • Service sector (health)

8. How do governments organise and implement their S&T policy? • Government ministries, departments • Funding agencies • Performing agencies

9. NABS OBJECTIVES • Exploration and exploitation of the earth • Environment • Exploration and exploitation of space • Transport, telecommunication and other infrastructures • Energy • Industrial production and technology • Health • Agriculture • Education • Culture, recreation, religion and mass media • Political and social systems, structures and processes • General advancement of knowledge: R&D financed from general university funds (GUF) • General advancement of knowledge: R&D financed from other sources than GUF • Defence

10. GBAORD Government budget appropriations or outlays on R&D (GBAORD) are all appropriations allocated to R&D in central government or federal budgets and therefore refer to budget provisions, not to actual expenditure

11. GBAORD

12. GBAORD

15. ANVUR Evaluation of the Quality of Research

17. Science policy in Italy Source: OECD Science, Technology and Industry Outlook 2012

18. Source: OECD Science, Technology and Industry Outlook 2012

19. Mariana Mazzucato

20. Apple

21. The government visible hand Before launching the platform of iOS products, Apple received enormous support from the government: • direct investment in the stage of creation of the enterprise ($500,000 from the Small Business Investment Corporation) • access to technologies developed by government programmes • fiscal, commercial, technologicval policies aimed at supporting American firms

22. The technologies behind the iPhone, iPAD • Micro hard disk • Micro chips • Touchscreen display • Internet • GPS • LCD screens All of them developed with the support of government

23. The success of Apple Apple carries out little R&S compared with competitors Apple does not concentrate on the development of new technologies, but on their integration in an innovative architecture It success is based on: recongition of high-potential new technologies integration on complex engineering competencies clear vision based on products oriented towards design and consumetrs’ satisfction

24. The role of the state The conventional wisdom: the state fixes market failures, but it does not create or shape markets actively The public sector is often seen as sclerotic and conservative, in contrast to a dynamic and innovative private sector but The public sector usually bears the highest risk of funding innovation without reaping the rewards (socialise risks and privatise rewards) A case in point: Apple turnover 76.4 $ billion 75% of the most innovative drugs owe their funding not to Big Pharma or to venture capital, but to that of the National Institutes of Health From the internet to nanotech, most of the fundamental advances – in both basic research but also downstream commercialisation – were funded by government, with business moving into the game only once the returns were in clear sight

25. The role of the state Ironically, one of the governments that have been most active on the front of directing public investment which changed the market landscape though innovation is the US government The government creates a vision which steers business investment

26. Some final comments The role of government in S&T is key Neo-liberal appoaches (not only in the US) Risk involved in public intervention Return of public investment in R&D The European Lisbon target of R&D/GDP 3% The legitimation on science in society

27. Thank you