63rd Report in 2010: Analysis of Government R&D Fund Sources and Policy Recommendations

March 22,2011

xiaoluo

Abstract: Ratio of research and development (R&D) expenses to GDP is an important indicator of national economic development mode. Now, there is no sign that the objective of spending 2% of GDP on R&D by 2010 as set in the “11^th Five-Year Plan” will be met. Governmental input is a key fund source of R&D activities and plays an important leading role in the national R&D activities. Therefore, leveraging of governmental input is an important measurement for realizing the ratio of 2.5% by 2020 as set in the outline of national medium and long-term science and technology planning. Based on a study of governmental R&D input in China, the article analyzes the fund sources of government R&D. It then proposes countermeasures to be adopted by governments for achieving R&D objectives.