THE GOVERNMENTS OF MOST industrial nations wield influence over their countries' research and development (R&D) activities in natural resources and environmental management. Government involvement assumes many forms, including protecting intellectual property; carrying out research at government laboratories or other facilities, often in partnership with the private and academic sectors; and financially supporting research and development. But government's influence is in fact more widespread: a host of other policies, although not directed toward R&D, significantly affect the rate and direction of innovation. Examples include rationing access to and use of natural and environmental resources, controlling pollution emissions, and setting energy efficiency standards.