Innovation and Public Policy
In advanced economies like the United States, innovation has long been recognized as a central force for increasing economic prosperity and improving human health. Today, the US government promotes innovation through various mechanisms, from tax credits for private sector research, to grant support for basic and applied research, to institutions like the Small Business Innovation Research Program of the National Science Foundation. This book surveys the key components of innovation policy and the social returns to innovation investment. It also discussed mechanisms that can advance innovative activity, including expanding the innovative labor supply through schooling and immigration policy, and funding basic research. It also considers the role of policies that promote scientific breakthroughs and of entrepreneurship policy.