"The US remains the global leader in R&D investment, spending an estimated $400 billion in 2009 – higher than China, Japan, and Germany combined. in terms of R&D spending as a share of GDP, the US ranked only eighth in 2009 (at 2.9% of GDP). " defense accounted for more than 50% during the last 25 years." " The defense share of R&D – less than 10% in the EU and less than 5% in Japan in 2009 " "between 1999 and 2009, global R&D spending grew at an average annual rate of 7%, accelerating to 8% during the last five years, despite the global recession. " "Over the decade, the US share of global R&D fell from 38% to 31%, the EU share fell from 27% to 23%, and Asia’s share rose from 24% to 32%. Within Asia, R&D spending in China grew at an astounding 20% annual pace – twice the country’s GDP growth rate – and by 2009 China had surpassed Japan to become the world’s second-largest investor in R&D. Spending on R&D also grew rapidly – about 10% annually – in South Korea. By contrast, R&D spending grew by 4% in Japan, 5% in the US, and roughly 6% in Europe." ", In 2009, business accounted for 75% of R&D funding in Japan, 73% in South Korea, 72% in China, 67% in Germany, and 60% in the US, " " multinational companies, whether headquartered in the US or elsewhere, accounted for about 84% of private (non-bank) R&D investment in the US in 2009," "US multinationals locate about 84% of their R&D activities in the US this share has declined during the last decade, as US multinationals have shifted some of their R&D from the US and Europe to Asia in response to rapidly growing markets, ample scientific and engineering talent, and generous subsidies." "global competition for multinational companies’ R&D activity, and for the local benefits that it brings, is likely to intensify in the future, with many countries already offering sizeable tax credits and extended tax holidays. The Asian economies have been particularly aggressive in the use of such incentives. And, recognizing that the availability of a workforce with the necessary skills is a key determinant of where businesses locate their R&D activities, many countries are increasing their investments in tertiary education and training in science, engineering, and technology." "Engineering accounts for only 4% of all bachelor’s degrees in the US, compared to 19% in Asia" "Many countries are changing their immigration laws to make it easier to attract highly skilled workers, especially scientists and engineers, who are increasingly mobile." "Meanwhile, immigration policies in the US and Europe are making it more difficult to attract and retain such workers, compelling companies to shift R&D abroad to find the talent that they need."
