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SUMMARY OF MAJOR TRENDS 35 ACADEMIC R&D SHARE OF TOTAL U.S. R&D During the 1960s, academic institutions assumed a more prominent role within the nation's over-all R&D system. Their share of U.S. basic research expenditures increased from 25 percent in 1953 to half by the early 1970s, where it has remained; their share of all basic and applied research went from 15 percent to 25 percent, that of total research and development from 5 percent to 10 percent. Figure 2-3: Academic Share of U.S. R&D Expenditures DEFINITION OF TERMS: Academic R&D Expenditures include current fund expenditures within higher education institutions for all research and development activities that are separately budgeted and accounted for. This includes both sponsored research activities (sponsored by federal and non-federal agencies and organizations) and university research separately budgeted under an internal application of institutional funds; and excludes training grants, public service grants, demonstration projects, and departmental research expenditures that are not separately budgeted. Total R&D includes all non- capital national expenditures for the conduct of basic research, applied research, and development. Research includes all non- capital national expenditures for basic and applied research. Basic Research includes all non-capital national expenditures for the conduct of basic research. Basic research is the systematic study where the primary aim of the investigator is directed toward fuller knowledge or understanding of the subject under study, rather than a practical or commercial application thereof. Applied research is the systematic study where the primary aim of the investigator is directed toward gaining knowledge or understanding necessary for determining the means by which a recognized and specific need or commercial objective may be met. Development is the systematic use of the knowledge or understanding gained from research, directed toward the production of useful materials, devices, systems, or methods, including design and development of prototypes and processes. SOURCE: National Science Foundation, Division of Policy Research and Analysis. Database: CASPAR. Some of the data within this database are estimates, incorporated where there are discontinuities within data series or gaps in data collection. Primary data sources: National Science Foundation, Division of Science Resource Studies, Survey of Federal Funds for Research and Development; Survey of Federal Support to Universities, Colleges, and Non-profit Organizations; Survey of Scientific and Engineering Expenditures at Universities and Colleges; Survey of Industrial Research and Development.