This morning the White House released a letter to Congress outlining President Biden’s budget request for FY 2022. While this is not the full budget documentation, it is similar to what previous incoming Administrations have done to weigh-in on the Congressional appropriate process. The full budget documentation will be released later this spring. As this budget request does not include enough detail (especially what would normally be found in the Analytics section), it is not possible for me to provide a description of federal investments in intangible assets. Once the forthcoming full budget is available, I will provide a detailed analysis.
However, here are some of the highlights contained in this request:
- Funding to create a new Directorate in NSF to “help translate research into practical applications” with a focus on emerging technologies.
- Funding to launch the Advanced Research Projects Agency for Health (ARPA-H)
- Establishment of two more Manufacturing Innovation Institutes (under the Manufacturing USA program)
- Nearly doubling the budget for the Manufacturing Extension Program (MEP)
- Increased funding for federal R&D in general with additional funding for various clean energy programs
- Increased funding for education and worker training programs
- Funding for the Justice Department to protect government funded R&D from foreign government interference and exploitation
- Increased funding for Growth Accelerators, Regional Innovation Clusters, and the Federal and the State Technology Partnership Program.
- Increased funding for SBA’s capacity to expand the SBIR and STTR programs.
Needless to say, the budget request contains a lot more even if it is not as detailed as the full budget. As such it gives an outline of the direction the President’s policy is going. The request is consistent with everything we have been hearing about what is being called “Bidenomics.” As commentator David Brooks noted, “Bidenomics is a massive bid to promote economic dynamism.” And the mechanism I would summarize as investment, investment, investment.
More to come when the full budget is released.