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The Socio-Economic Importance of Scientific Research To Canada

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<strong>The</strong> <strong>Socio</strong>-<strong>Economic</strong> <strong>Importance</strong> <strong>of</strong> <strong>Scientific</strong> <strong>Research</strong> to <strong>Canada</strong> Page 43© David A. Wolfe and Ammon Salterabout one fifth <strong>of</strong> total federal spending on R&D. <strong>The</strong> data in Table 9 indicate how the trendin this category has fared in recent years.Table 9. Federal Government Payments to the Higher Education Sector for R&D, byDepartment or Agency, 1987-88 to 1996-97 (in millions <strong>of</strong> dollars)Department 1987-88 1988-89 1989-90 1990-91 1991-92 1992-93 1993-94 1994-95 1995-96 p 1996-97 eor agencyAGR............. 4 7 5 5 4 3 3 5 4 2CIDA............ 25 27 24 25 26 24 22 21 21 21ENV............. 2 2 1 2 2 5 9 15 13 11HC............... 8 11 10 11 11 11 9 15 16 16MRC............ 158 170 183 219 222 231 233 239 227 218.NDEF........... 8 9 9 11 8 7 6 6 10 8NRES........... 5 6 7 7 7 7 8 7 6 4.NRC............. 28 30 32 37 33 37 32 35 34 19NSERC......... 281 299 317 377 389 401 394 393 380 360.SSHRC.......... 40 46 50 57 60 61 61 61 60 57Other............ 15 17 26 18 18 33 39 34 28 31<strong>To</strong>tal ............ 574 624 664 769 780 820 814 831 798 748Notes: p = preliminary figures; e estimatesSource: Statistics <strong>Canada</strong>, Table 24, Federal Government Expenditures and Personnel onActivities in the Natural and Social Sciences, 1987-88 to 1996-97, ST 97-04 (March 1997).<strong>The</strong> data in Table 9 indicate that the pattern <strong>of</strong> federal spending on research activities in thehigher education sector has tracked the broader pattern <strong>of</strong> spending in the portfolio as a whole.Spending rose significantly in the late 1980s and early 1990s following the commitment by thegovernment to improve the research base, especially for the three granting councils. Notsurprisingly, it reached its peak in 1994-95, just before the introduction <strong>of</strong> the government’srestraint program. While spending levels held fairly steady during the first two years <strong>of</strong> thegovernment’s mandate, they have fallen precipitously since — by more than $80 million incurrent dollars (and even more if allowance is made for the effects <strong>of</strong> inflation). Thisrepresents a fairly major reversal <strong>of</strong> the policy directions enunciated in the early years <strong>of</strong> theLiberal government’s mandate and contradicts fairly strongly the message sent out during theS&T Review — both those contained in the interdepartmental working documents and in thefinal report. <strong>The</strong> fall in the level <strong>of</strong> federal spending in this area represents a significant blow43

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