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The United States must now compete against many other nations to attract and retain the R&D investment and business activities that drive our economy, and an increasing number of Americans at all skill levels find themselves in direct competition with foreign workers. High wage advanced economies will find it more difficult to compete in the global marketplace to perform many routine tasks, routine manufacturing and routine service delivery. In this environment, U.S. competitiveness will depend on our ability to develop and deliver “first to the world” products and services. Ensuring America remains the world’s leader in science, technology and innovation will be key to meeting this challenge.

This report examines the powerful forces driving this global economic transformation, and outlines an action agenda for policy makers to begin making the dramatic changes in support for innovation that will be necessary to ensure U.S. leadership in innovation in the 21st century.