October 23, 2009 Washington DC Accelerating Energy Innovation: Lessons from Multiple Sectors Rebecca Henderson and Richard Newell

1. Agricultural Innovation Brian Wright and Tiffany Shih UC Berkeley, Agriculture and Resource Economics Accelerating Energy Innovation: Lessons from Multiple Sectors Sponsored by the National Bureau of Economic Research Washington, D.C. Oct. 23, 2009

5. Agricultural R&D Expenditures: Uniquely Diverse

9. Agricultural Research Investments Public sector produces basic research that private sector relies upon to do focused applied research (adapted from Huffman and Evenson, 2006) Final users General and pre-invention sciences Innovation products Technology invention Public investment Private investment

11. Importance of Public Investments “ We also have to strengthen our commitment to research, including basic research , which has been badly neglected for decades. That's always been one of the secrets of America's success… The fact is, though, basic research doesn't always pay off immediately . It may not pay off for years. When it does, the rewards are often broadly shared, That's why the private sector generally under-invests in basic science. That's why the public sector must invest instead . While the risks may be large, so are the rewards for our economy and our society…” September 21, 2009 President Obama, speech at Hudson Valley Community College, Troy, New York