ABSTRACT
The private sector by itself will not conduct an optimal research and development (R&D) effort in the energy field, some form of government intervention seems justified and desirable. Government funded R&D, measures to stimulate private R&D expenditures, and other methods for achieving the energy goals of society must be compared in order to determine the best means of government intervention. The overriding objective of most privately funded R&D is the development of new products and processes that can be exploited profitably in the marketplace. R&D expenditures on education and manpower, natural resources and environment, and in other areas display as much or more instability as those for defense and space. For several reasons government R&D funding is likely to reduce the R&D expenditures of the private sector. The chapter concentrates on six areas--antitrust, patents, taxes, public utility regulation, trade, and government procurement - where changes in public policies are frequently suggested to influence private R&D expenditures.
