Overseas Funding for Industrial R&D in the United Kingdom
Discussions of R&D in the United Kingdom usually centre upon the inadequacy of total expenditure relative to that in other competing nations. A phenomenon that appears to have merited much less discussion is that highlighted in Table 8.1. Over the period since 1976, the data on the sources of funding for R&D in the UK industrial sector have as their most noticeable feature a dramatic increase in the percentage of this total funding that comes from overseas. In this chapter I explore this phenomenon in more detail and attempt to address two basic questions: why is the percentage of UK industrial R&D financed from overseas relatively large and what are the costs and benefits of this?
KeywordsElectronic Equipment Domestic Firm Brain Drain Transnational Corporation Replacement Cost
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