Innovation in the U.S. Government

The Role of Innovation and Entrepreneurship in Economic Growth, edited by Aaron Chatterji, Josh Lerner, Scott Stern, and Michael J. Andrews, 2020

Duke Law School Public Law & Legal Theory Series No. 2020-30

42 Pages Posted: 4 Jun 2020

See all articles by Joshua R. Bruce

Joshua R. Bruce

Gies College of Business, University of Illinois at Urbana-Champaign

John M. de Figueiredo

Duke University School of Law; Duke University - Fuqua School of Business; National Bureau of Economic Research (NBER); Duke Innovation & Entrepreneurship Initiative

Multiple version iconThere are 2 versions of this paper

Date Written: May 7, 2020

Abstract

This paper examines the U.S. government’s intramural research and development efforts over a 40-year period, drawing together multiple human capital, government spending, and patent datasets. The U.S. Federal Government innovates along four dimensions: technological, organizational, regulatory, and policy. After discussing these dimensions, the paper focuses on the inputs to and outputs of government intramural technological innovation. We measure innovative effort and results by accounting for the government scientists and dollars committed to R&D and patents created with government involvement. Overall, we show that intramural innovations, measured by government-assigned patents, are slightly more original and general, but less cited, than patents awarded to private-sector companies and extramural organizations patenting in the same technology classes. The majority of the 200,000 federal government scientists work at the Department of Defense, the Department of Energy, and NASA, and are largely in physical science and engineering occupations; the scientific expertise of other agencies is heavily weighted toward mathematics, social sciences, and data analytics. As these latter disciplines’ innovative outputs are less readily catalogued with patents, measuring total government innovative output with government-assigned patents is likely to over-emphasize innovations in engineering and physical sciences while under-reporting intramural innovations in other disciplines. We discuss the implications of our findings for both public- and private-sector innovation efforts and pose questions for future research.

Keywords: Government Innovation, R&D, Personnel Economics, Scientific Capabilities

JEL Classification: H41, H54, K0, O31, O34

Suggested Citation

Bruce, Joshua R. and de Figueiredo, John M., Innovation in the U.S. Government (May 7, 2020). The Role of Innovation and Entrepreneurship in Economic Growth, edited by Aaron Chatterji, Josh Lerner, Scott Stern, and Michael J. Andrews, 2020, Duke Law School Public Law & Legal Theory Series No. 2020-30, Available at SSRN: https://ssrn.com/abstract=3593862 or http://dx.doi.org/10.2139/ssrn.3593862

Joshua R. Bruce (Contact Author)

Gies College of Business, University of Illinois at Urbana-Champaign ( email )

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HOME PAGE: http://giesbusiness.illinois.edu/profile/joshua-bruce

John M. De Figueiredo

Duke University School of Law ( email )

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Duke University - Fuqua School of Business ( email )

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National Bureau of Economic Research (NBER)

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Duke Innovation & Entrepreneurship Initiative

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