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Research and Development INDUSTRY COMMISSION RESEARCH AND DEVELOPMENT VOLUME 3 : APPENDICES REPORT NO. 44 15 MAY 1995 Australian Government Publishing Service Canberra © Commonwealth of Australia 1995 ISBN 0 644 45228 5 (for set) ISBN 0 644 45273 0 (vol. 3) This work is copyright. Apart from any use as permitted under the Copyright Act 1968, no part may be reproduced by any process without prior written permission from the Australian Government Publishing Service. Requests and inquiries concerning reproduction rights should be directed to the Manager, Commonwealth Information Services, Australian Government Publishing Service, GPO Box 84, Canberra ACT 2601. Produced by the Australian Government Publishing Service TABLE OF CONTENTS This report comprises three volumes. The body of the report is in volumes 1 and 2, and the appendices are in volume 3. Volume 1 comprises the overview and parts A, B and C. Volume 2 comprises parts D, E, F and G. A more detailed listing of the contents of each may be found at the beginning of each volume. VOLUME 3 - APPENDICES page INSTITUTIONAL APPENDICES A PUBLIC CONSULTATION A.1 Consultancies A.1 A.2 Information papers A.1 A.3 Public hearings and submissions A.2 A.4 Visits within Australia A.10 A.5 Conference on R&D and economic growth A.13 A.6 Roundtable discussions A.13 A.7 Presentations A.14 A.8 Other visitors to the Commission A.15 A.9 Overseas visits A.16 B CSIRO’S PRIORITY SETTING SYSTEM B.1 Background B.1 B.2 The priorities-setting framework B.1 B.3 The assessment of relative priorities in practice B.2 B.4 From national priority setting to resource allocation B.7 B.5 Ownership of priority-setting process B.15 C OTHER GOVERNMENT RESEARCH AGENCIES C.1 ANSTO C.1 C.2 AIMS C.9 C.3 AGSO C.15 D HIGHER EDUCATION RESEARCH AND DEVELOPMENT FUNDING MECHANISMS D.1 Unified National System D.1 D.2 Australian Research Grants Committee D.5 D.3 Australian Research Council D.6 D.4 Other Commonwealth funding D.16 E BUSINESS R&D GRANT SCHEMES E.1 Discretionary Grants Scheme E.3 E.2 Generic Technology Grants Scheme E.29 E.3 Automatic R&D support for tax loss companies E.51 F SELECTED RURAL R&D PROGRAMS F.1 R&D corporations and councils F.1 F.2 Other rural R&D related programs administered by DPIE F.6 F.3 Cooperative Research Centres (CRCs) F.8 F.4 Australian Centre for International Agricultural Research F.9 G MAJOR LINKAGE PROGRAMS G.1 Research Centres Program G.1 G.2 Collaborative Research Grants Program G.10 G.3 Advanced Engineering Centres Program G.14 G.4 Australian Postgraduate Awards (Industry) G.16 G.5 National Priority (Reserve) Funding G.17 G.6 Collaborative schemes under the Industry Innovation Program G.18 H GOVERNMENT RESEARCH AGENCIES IN SELECTED COUNTRIES H.1 United States H.1 H.2 Japan H.6 H.3 United Kingdom H.10 H.4 Germany H.16 H.5 Canada H.19 H.6 New Zealand H.20 H.7 Taiwan H.28 H.8 Korea H.31 H.9 South Africa H.32 H.10 India H.35 H.11 Summing up H.36 QUANTITATIVE APPENDICES QA QUANTIFYING THE RETURNS TO R&D: THE EVIDENCE TO DATE QA.1 Methodologies QA.6 QA.2 Data issues QA.20 QA.3 Estimates of the returns to R&D QA.32 QA.4 Summary QA.51 QB PRODUCTIVITY GROWTH AND THE RETURNS TO R&D IN AUSTRALIA QB.1 Productivity performance in Australia QB.1 QB.2 The social returns to R&D in Australia QB.8 QB.3 Sectoral returns to R&D QB.26 QB.4 Conclusions QB.40 QC ECONOMY-WIDE EFFECTS OF THE TAX CONCESSION QC.1 An economy-wide model of R&D QC.2 QC.2 The impact of eliminating the 150 per cent tax concession QC.9 QC.3 The impact of company tax rate reductions in eroding the value of the tax concession QC.14 QC.4 The impact of redistributing the tax concession towards industries with the greatest private R&D spillovers QC.18 QD ASSISTANCE TO INDUSTRY FROM GOVERNMENTS’ SUPPORT FOR R&D QD.1 Introduction QD.1 QD.2 The concept of assistance QD.2 QD.3 Industries benefiting from R&D QD.5 QD.4 Assistance to business R&D QD.8 QD.5 Assistance to industries benefiting from R&D QD.18 QD.6 Conclusion QD.28 Annexes to Appendix QD QD1 Standard measures of assistance QD.29 QD2 Derivation of nominal and effective assistance to the performance of business R&D QD.30 QD3 Derivation of nominal and effective assistance to industries benefiting from R&D QD.34 QE STATE GOVERNMENT INVOLVEMENT IN R&D QE.1 Introduction and summary QE.1 QE.2 New South Wales QE.6 QE.3 Victoria QE.11 QE.4 Queensland QE.16 QE.5 Western Australia QE.20 QE.6 South Australia QE.25 QE.7 Tasmania QE.29 QE.8 Australian Capital Territory QE.30 REFERENCES REFERENCES 1 INDEX INDEX 1 INSTITUTIONAL APPENDICES APPENDIX A: PUBLIC CONSULTATION The Commission received the reference for this inquiry in September 1993. It placed advertisements widely, and provided an Issues Paper to a large number of individuals and organisations. The draft report was released in December 1994; about 2200 copies of the 3-volume report and over a thousand separate printed copies of the Overview, were distributed. A.1 Consultancies After advertising for expressions of interest, the Commission let the following consultancies: • Dr Steve Dowrick (The Role of R&D in Growth: a Survey of the New Theory and Evidence); • Dr Shantha Liyanage and Professor Stephen Hill (Taxation Concessions for Research & Development in Selected Asian Countries); • Dr Colin Rubenstein (Advisory Framework for Australian Science and Technology Policies); and • Professor Clem Tisdell (Economic Justification for Government Support of Research and Development: A Review of Modern Microeconomic Literature and its Policy Implications). Copies of the papers resulting from these consultancies were made available on request to interested parties. A.2 Information papers Information papers were made available for comment by interested parties following the release of the draft report. • Organisation and funding of government research agencies in selected countries. • Government support to R&D by benefiting industry. • Provision of research to rural R&D corporations. APPENDIX A.1 RESEARCH AND DEVELOPMENT A.3 Public hearings and submissions In November and December 1993, and February and March 1994, the Commission held public hearings in Perth, Adelaide, Melbourne, Sydney, Brisbane and Canberra. At the time of the release of the draft report, 262 submissions had been received from a wide range of participants. The Commission held public hearings on the draft report in February and March 1995 in Hobart, Perth, Adelaide, Melbourne, Sydney, Brisbane and Canberra. During the period subsequent to the release of the draft report, the Commission received a further 200 submissions, making a total of 462 submissions received. These are listed below. Those submissions which were presented at a public hearing are indicated by an asterisk (*). Inquiry participants Participant Submission number A F Bambach Australia 105 Academy of the Social Sciences in Australia 352 ACT Chief Minister’s Department 392 ACT Government 256 Advisory Board of Agriculture (SA) 162 Aerospace Technologies of Australia* 349 Agricultural Bureau of South Australia 404 AGTRANS Research* 26 Aitkin, Professor D* 119 Allison, Dr G 425 AMGEN Australia Pty Ltd 235 Australian Manufacturers Patents, Industrial Design, Copyrights & Trademarks Association* 92 Ampol Exploration Ltd* 88 AMRAD Corporation Ltd* 43 ANUTECH Pty Ltd* 353 Apple & Pear Growers Association of SA Inc* 290 ASI Technologies* 58 Association of Australian Aerospace Industries* 74 Association of Australian Medical Research Institutes 231 Australian Academy of Design* 166 Australian Academy of Science* 160, 269, 357 Australian Academy of Technological Sciences & Engineering* 40, 186, 337 Australian Academy of the Humanities 2 APPENDIX A.2 APPENDIX A: PUBLIC CONSULTATION Australian Agricultural Machinery Manufacturers Association 209 Australian Almond Improvement Society 354 Australian Apple & Pear Growers Association* 340 Australian Avocado Growers Federation Inc 416 Australian Banana Growers Council* 288, 372 Australian Biotechnology Association 206 Australian Bureau of Agricultural & Resource Economics* 196, 382 Australian Centre for Innovation and International Competitiveness 401 Australian Centre for International Agricultural Research 400 Australian Chamber of Manufactures 137 Australian Chemical Industry Council* 68 Australian Citrus Growers Federation 279 Australian Coal Association 164, 185 Australian Committee for the International IMS Program* 13 Australian Conservation Foundation* 230, 324 Australian Cotton Foundation Ltd 295 Australian Cotton Growers Research Association Inc* 374 Australian Council of Libraries & Information Services 220 Australian Custard Apple Growers Association 447 Australian Dairy Farmers’ Federation* 224 Australian Dairy Industry Council* 238 Australian Electrical & Electronic Manufacturers’ Association Ltd* 126, 460 Australian Fisheries Management Authority* 127 Australian Forest & Land Management Ltd* 19 Australian Fresh Stone Fruit Growers Association* 301, 347 Australian Gas Light Company 177 Australian Graduate School of Engineering Innovation 383 Australian Horticultural Exporters’ Association 411 Australian Industrial Property Organisation 237 Australian Industrial Research Group* 184, 261, 329 Australian Institute of Agricultural Science* 111, 282 Australian Institute of Agriculture Science (WA Zone)* 30 Australian Institute of Biomedical Research Ltd 439 Australian Institute of Marine Science* 98 Australian Macadamia Society Ltd* 326 Australian Maritime Engineering 38 Australian Mineral Industries Research Association* 32, 348 Australian Mining Industry Council 50 Australian National University*
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