The Funding of Social Knowledge Production and Application: A Survey of Federal Agencies (1978)

Below is the uncorrected machine-read text of this chapter, intended to provide our own search engines and external engines with highly rich, chapter-representative searchable text of each book. Because it is UNCORRECTED material, please consider the following text as a useful but insufficient proxy for the authoritative book pages.

5 Department of Commerce The U.S. Department of Commerce is the third-largest cabinet-level funder of social knowledge production and application in the federal government. Historically, the dominant activity of the department has been general purpose statistics; since its creation in 1902, the Bureau of the Census has been the leading statistical agency in the federal gov- ernment. Initially collected as a service to the business community, economic statistics now have a much wider audience. While nearly 70 percent of the agency's total social knowledge pro- duction and application obligations is for general purpose statistics, the department has expanded its research activities during the last 10 years. The Public Works and Economic Development Act of 1965 created the Economic Development Administration and charged it with undertaking research on the causes of unemployment, underemploy- ment, etc. Four years later, the Office of Minority Business Enterprise was created and was also charged with conducting research. In 1970, the Office of Telecommunications was established; in 1972, the Domes- tic and International Business Administration was created with en- larged research responsibilities; in 1973, the Experimental Technology Incentives Program was created within the National Bureau of Stand- ards; in 1974, the National Fire Prevention and Control Administration was created by Congress. These new organizations and new respon- sibilities pushed the department into new areas of social activities. By 1977, the Department of Commerce no longer funded only "statistics" but a diverse set of social knowledge production and application activities—although some were funded on a very small scale. 73

74 SURVEY OF FEDERAL AGENCIES SOCIAL KNOWLEDGE PRODUCTION AND APPLICATION ACTIVITIES Table 5-1 presents the distribution of the department's social knowl- edge production and application activities. After general purpose statistics, which account for nearly 70 percent of the total knowledge production and application obligations, the second-largest activity of the department is research. In fiscal 1977, Commerce spent over $24 million on research and ranked seventh in the federal government in social research obligations. The Economic Development Administra- tion is the largest research funder in the department. TABLE 5-1 Department of Commerce Social Knowledge Production and Application Activities ($millions) Activity Fiscal 1975 Fiscal 1976 Fiscal 1977 Knowledge production Research Policy formulation demonstrations Program evaluation General purpose statistics Total 19.3 (20.6)° 2.5 22.3 (19.6) 4.2 24.2 (18.7) 3.1 Knowledge application (2.7) 1.3 (1.4) 63.8 (68.4) 86.8 (93.0) Numbers may not total due to rounding. "Numbers in parentheses are column percentages. (3.7) 1.7 (1.5) 77.4 (67.9) 105.5 (92.7) (2.4) 1.7 (1.3) 90.2 (69.6) 119.2 (92.0) Policy implementation demonstrations 0.6 0.8 1.0 (0.6) (0.7) (0.7) Development of materials 0.1 0.1 0.1 (0.1) (0.1) (0.I) Dissemination 5.8 7.4 9.2 (6.2) (6.5) (7.1) Total 6.5 8.3 10.3 (7.0) (7-3) (8.0) TOTAL 93.4 113.9 129.6 (100.0) (100.0) (100.0)

Department of Commerce 75 ORGANIZATION OF THE DEPARTMENT Figure 5-1 presents the organizational chart of the Department of Commerce. The two statistical agencies, the Bureau of Economic Analysis and the Bureau of the Census, both report to the department's chief economist. The National Bureau of Standards and the Office of Telecommunications report to the assistant secretary for science and technology. All other Commerce units are relatively independent. Table 5-2 presents the Department of Commerce agencies that fund social knowledge production and application activities. The Bureau of the Census is the dominant social knowledge production and applica- tion agency in the department; it is over five times larger than the next-largest social knowledge production and application agency, the Economic Development Administration. Two agencies, the Office of Minority Business Enterprise and the National Bureau of Standards (the Experimental Technology Incentive Program). have demonstrations as their predominant knowledge pro- duction and application activity. Both agencies also have a small re- search program in conjunction with their demonstration program. Their dominant activity, however, is demonstrations for policy formu- lation, which serve to test new programmatic ideas and assess their potential effect. Table 5-2 demonstrates the third-party nature of the Department of Commerce's activities. While the business community has long been its primary audience, in recent years the department has aimed some of its programs at more specialized audiences: minority businessmen, economically distressed communities, and small businesses. The scien- tific community is a major audience for the activities of the National Oceanic and Atmospheric Administration and the Office of Telecom- munications. While the Bureau of the Census and the Bureau of Eco- nomic Analysis generate statistics that are used by decision makers, only the research activities of the Domestic and International Business Administration are expressly developed for federal decision makers and the improvement of federal policy. POLICY AREAS IN THE DEPARTMENT Table 5-3 presents the agencies in which social knowledge production and application activities are funded by policy area. The policy area "Economic Growth and Productivity" dominates the department's ac- tivities, a fact that should not be surprising in light of the department's

11 I1 Si i I SB 5Ss lit h i it i s s.K |SS B s! u o 76

Department of Commerce 77 TABLE 5-2 Department of Commerce Agencies that Support Social Knowledge Production and Application: Profile (fiscal 1977, $millions) Organizational Predominant Location of Total Social Social Social Knowledge Knowledge Knowledge Production Production Production and and and Application Application Application Primary Goal Agency Obligations Activity Activity" or Audience" Bureau of 79.6 General Statistical Collection of the Census purpose agency statistics statistics Economic 15.3 Research Operating Knowledge for Development agency third parties Administralion Bureau of 12.3 General Statistical Collection of Economic Analysis purpose agency statistics statistics Domestic and 7.4 General Operating Improvement of International purpose agency federal policies Business statistics/ Administration research National Oceanic 6.1 Research Operating Knowledge for and Atmospheric agency third parties Administration National Bureau 2.8 Demonstrations R&D agency Knowledge for of Standards third parties Office of 1.9 Demonstrations Operating Knowledge for Minority agency third parties Business Enterprise Office of Tele- 1.4 Dissemination R&D agency Knowledge for communications third parties National Fire 1.2 Diversified Operating Knowledge for Prevention activities agency third parties and Control Administration Maritime 0.9 Research Operating Improvement of Administration agency federal programs U.S. Travel 0.8 Research Operating Improvement of Service agency federal programs TOTAL 129.6 Numbers may not total due to rounding. "See Chapter 2 for a more detailed discussion.

x ,cS~S ,o ~ S ^ JO i S 8 — 8 ••8 — 8 VI p V — — — .H ;| •* '° i - s o I .o o c ff-f S = 'a ii e w u 'e o g E, S uj o E a o > Nat3ral 1 e 8 1 •a a Is ill 1 c »Sm£ ,o ^£ tl >2 -|-| '| -| 3 I in U , g 00 -g * , u e - '= .«« .3<5! Ill o hi M u "5 C 1 bfil 1 • llllll X !/5 •E 3 £ U E E o U > 9v o ^ O r-' Q wK c r- o — o o — 5 'G c ** e W ~ — — -* u eo 1 <u H i u i1 S 1 3 , I 1 S<55» « B V C O V 1.1 Js <A a co v$ u s !i-i If? . i 8 •3 '= c -~ i S s a. S B A O ic 3 1 >^ I z f*'> A M UJ ^, JS u 'e = 1 e E — .2 e •- e e 1i! iiilll ill « .y ^£ | aC«Oa3ovSto>t SuSuCeria'Q ev'3 -) ^ 3tU^Q^D^ H^ QQ QQ U UJ 78

; O OO O * O o S ~~ o 5 O r i -i - 0 -8 : 1 <=' I § 3C - S N g - 8 8 8 ' -8 - e 18 1 ir! -" s z OTAL 1 8 0 ^ ll >, o- 1 •- i| ll 19

SURVEY OF FEDERAL AGENCIES mission to "encourage, serve, and promote the Nation's economic and technological advancement." The second largest policy area is "Natu- ral Resources," which includes the activities of the National Oceanic and Atmospheric Administration. NATIONAL TECHNICAL INFORMATION SERVICE The National Technical Information Service (NTIS) collects, promotes, and sells technological, scientific, economic, business, and engineering information resulting from federal R&D activities. The goal of NTIS is to make the results of federal R&D more readily available to industry, business, government, and the general public. Dollar totals for the dissemination activities of NTIS have not been included in this survey. NTIS programs are largely funded (92 percent) from the sale of products and services to its customers. The social portion of NTIS'S small direct appropriation could not be ascertained. For Further Information Write National Technical Information Service, Department of Commerce. 5285 Port Royal Road, Springfield. Va. 22161. BUREAU OF THE CENSUS Social Knowledge Production and Application Obligations (Sthousands) Knowledge Production Activities Knowledge Application Activities Policy Policy Formula- Program General Implemen- Develop- Fiscal Re- tion Dem- Evalu- Purpose lotion Dem- ment of Dissem- Year search onstrations ation Statistics Total onstrations Materials ination Total TOTAL W75 659 52.988 53.647 957 «7 54.604 1976 763 64.682 65.445 1.047 1.047 66.492 \9T> 872 76.899 77.771 1.824 1.824 79.595 The Bureau of the Census is the largest general purpose statistical agency in the federal government. The bureau has three major ac- tivities: o The conduct of all the censuses authorized by law. Two censuses (population and housing) are conducted every 10 years. Eight censuses

Department of Commerce 81 (agriculture, state and local governments, manufacturers, mineral in- dustries, commercial fisheries, businesses, construction industry, and transportation) are conducted at various 5-year intervals. o The conduct of current surveys, which provide information on many of the census subjects at weekly, monthly, quarterly, and other intervals. o The compilation of current United States foreign trade statistics, including imports, exports, and shipping data. The statistics produced by the Census Bureau on the changing struc- ture and characteristics of the nation's economy and population are used by a variety of audiences—federal, state, and local decision mak- ers, private businesses, the academic community, labor organizations, other organizations, and the general public. The data are used for mak- ing projections on many topics—population growth and dispersion, public education, highways, etc.—as well as for such things as appor- tioning state legislatures and determining congressional districts. As an extension of its primary mission, the Bureau of the Census collects data for other federal agencies and provides them with techni- cal advice. Federal agencies transfer over $60 million annually to the Census Bureau for the collection of statistics, consultation on sample design, data processing, and consultation. The dollar totals reported above include only the bureau's direct appropriation from Congress; agency transfers are reported as obligations for the agency transferring the funds. Research The Census Bureau conducts a small in-house research program, the goal of which is to increase the accuracy and timeliness of the agency's statistical information. Research topics include: sampling theory and survey design; measurement and control of response or measurement errors; editing of statistical data; quality control procedures; and sys- tems analysis, operations research, and time series analyses. General Purpose Statistics The Census Bureau's programs for general purpose statistics are di- vided into two collections: current statistical collections and periodic census collections (see Tables 5-4 and 5-5). The Census Bureau has received substantial increases in funds for general purpose statistics during the past three fiscal years. The large

82 SURVEY OF FEDERAL AGENCIES TABLE 5-4 Statistical Collection Programs of the Bureau of the Census (fiscal 1977 obligations in parentheses)" I. CURRENT STATISTICAL COLLECTIONS ($39.4 million) Current Economic Statistics ($33.7 million) Business Economic Statistics ($7.6 million) collects data on current retail sales; cur- rent wholesale trade activity; trade activity of six major service groups. Construction Statistics ($4.5 million) collects data on construction permits; construc- tion starts; values of new construction; estimates of construction alterations and repairs; construction prices. Manufacturing Statistics ($6.0 million) collects data on current commodity reports: manufacturer's shipments, inventories, and orders; survey of manufacturer's fac- tory operations (employment, investments, etc.); environmental pollution abate- ment expenditures. General Economic Statistics ($3.8 million) prepares the Industrial Directory of all United States business firms and develops the uniform classification codes. The program also collects data on county business patterns; mergers, acquisitions, and disposals. Foreign Trade Statistics (S8.6 million) collects data on import and export statistics on all types of merchandise and commodities. State and Local Government Statistics ($3.0 million) collects data on government finances and employment; state and local public construction: revenue sharing. Agriculture Statistics ($0.2 million) collects data on cotton ginning and production. Current Demographic Statistics ($5.7 million) Population Statistics ($5.3 million) collects data on current population; population estimates and projections; social and economic characteristics of the population. Housing Statistics ($0.4 million) collects data on inventory of housing; housing vac- ancies; and projections on future housing needs. II. PERIODIC CENSUS COLLECTIONS ($36.9 million) Economic Statistics ($14.8 million) 1977 Economic Censuses ($6.1 million): Census of business, manufacturers, mineral industries, and transportation will be conducted. 7977 Census of Governments ($3.4 million) will include data on government finance, public employment, and government organization. 1974 and 1978 Census of Agriculture ($5.3 million): 1974 census activities included the review, tabulation, and publication of state reports of census evaluation. 1978 census will include data on number of farms, characteristics of farms, and agricul- tural economic activity.

Department of Commerce 83 TABLE 5-4 (Continued) Demographic Statistics ($22.1 million) Intercensal Demographic Estimates ($1.9 million) develops and prepares updated population and per capita income estimates as required by the Department of Treasury. 1980 Decennial Census of Population ($17.5 million): During fiscal 1977. the Census Bureau will continue developing, planning, and testing the 1980 population census. Specifically, the Census Bureau will review the methods and procedures used during the 1970 census; initiate questionnaire design and determine the content of the 1980 census; and develop improved processing procedures and collection tech- niques. Registration and Voting Survey ($2.7 million), required by the Voting Rights Act of 1965. is conducted in every state or political subdivision falling under the require- ments of the act. Total comes to S76.3 million. Another S0.5 million is spent in developmental activities, bringing the total of general purpose statistics to S76.9 million. increase in fiscal 1977 funds (nearly $13 million over fiscal 1976) is for the preparation of the 1980 Censuses of Population and Housing. Dissemination In addition to the agency's principal periodic reports (Table 5-5), the bureau publishes a variety of guides, reference works, and explanatory material on the nature and use of its data. The bureau publishes a series of technical and working papers that have been prepared by the bureau's research division and an annotated reference catalog of both the bureau's work and other unpublished material. The bureau issues a number of statistical compendiums, the most well-known of which is the Statistical Abstract. In addition to its published reports, the Census Bureau has extensive tabulations of data available for purchase on computer tape. The amount and detail of the data are generally greater on tape than in reports, and data for some small geographic areas are available only on tape. The Census Bureau will also perform special tabulations, on a fee basis, of computerized questionnaire responses. For Further Information Write Bureau of the Census, Department of Commerce, Washington. D.C. 20233.

84 SURVEY OF FEDERAL AGENCIES TABLE 5-5 Principal Periodic Reports of the U.S. Bureau of the Census" (date of most recent edition is noted) Statistical Abstract of the United States County and City Data Book Pocket Data Book. USA 1973 Historical Statistics of the United States, Colonial Times to 1970 Congressional District Data Book U.S. Census of Population: 1970 U.S. Census of Housing: 1970 U.S. Censuses of Population and Housing: 1970 Current Population Reports Current Housing Reports U.S. Census of Agriculture: 1969 U.S. Census of Retail Trade: 1972 U.S. Census of Wholesale Trade: 1972 U.S. Census of Selected Service Industries: 1972 U.S. Census of Construction Industries: 1972 Construction Reports U.S. Census of Manufactures: 1972 Annual Survey of Manufactures Current Industrial Reports U.S. Census of Mineral Industries: 1972 Enterprise Statistics: 1972 Highlights of U.S. Export and Import Trade U.S. Commodity Exports and Imports as Related to Output U.S. Census of Governments: 1972 County Business Patterns Survey of Minority-Owned Business Enterprises: 1972 Mergers and Acquisitions U.S. Census of Transportation: 1972 Bureau of the Census Catalog Bureau of the Census Guide to Programs and Publications Bureau of the Census Technical Papers Bureau of the Census Working Papers SOURCE: Executive Office of the President, Office of Management and Budget. Statistical Services of the United Stales Government, 1975 Edition. "Publications available from the U.S. Government Printing Office, Washington, D.C.

Department of Commerce 85 BUREAU OF ECONOMIC ANALYSIS Social Knowledge Production and Application Obligations (Sthousands) Knowledge Production Activities Knowledge Application Activities Policy Policy Formula- Program General Implemen- Develop- Fiscal Re- tion Dem- Evalu- Purpose tation Dem- ment oT Dissem- Year search onst ralions ation Statistics Total onstrations Materials ination Total TOTAL \9K 1.559 7.000 8.559 1.400 1.400 9.959 I9M 1.959 8.200 10.159 1.600 1.600 1 1 .759 vm 2.000 8.600 10.600 1.700 1.700 12.300 The function of the Bureau of Economic Analysis is to provide a clear picture of the United States economy through the preparation, devel- opment, and interpretation of the economic accounts (gross national product, etc.) of the United States. These economic accounts provide a realistic, quantitative view of the United States economic process in terms of the production, distribution, and use of the nation's output. The economic accounts prepared by the bureau are used extensively by decision makers in the executive and legislative branches of gov- ernment and by the Federal Reserve Board in the formulation and execution of fiscal, financial, and other economic policies concerned with the stability, growth, and distribution of national income. Eco- nomic accounts are also used by other groups: state and local govern- ments, business and labor, universities and research organizations, and individuals. Research The bureau interprets economic developments in light of economic accounts and other pertinent information. The bureau makes monthly assessments of the national business situation and conducts continuing analyses of the factors underlying cyclical developments and long- range business trends. Other research activities include: o surveys of the investment outlays and programs of U.S. busi- nesses; o use of short and medium econometric models to forecast eco- nomic activity within the framework of economic accounts; o estimates of capital expenditures and operating costs for pollution abatement; and o development of a system of leading, lagging, and coincident busi- ness cycle indicators.

86 SURVEY OF FEDERAL AGENCIES General Purpose Statistics Economic accounts have been categorized as general purpose statis- tics. The following economic accounts are prepared by the bureau: o national income and product accounts, which are summarized by the gross national product (GNP); o wealth accounts, which show business and other components of national wealth; o interindustry accounts, which show the interrelationships among industrial markets; o regional accounts, which provide detail on economic activity by state, metropolitan area, and county; o balance of payment accounts, which give details on United States economic transactions with foreign countries; and o international investments, which estimate United States direct in- vestments abroad, foreign direct investment in the United States, in- come flows associated with these investments, and other economic transactions of multinational enterprises. Dissemination Dissemination activities include the distribution of several major publi- cations by the bureau: Survey of Current Business, Weekly Business Statistics, Business Conditions Digest, Defense Indicators, and Long Term Economic Growth. The bureau publishes staff papers reporting bureau research that is more specialized than that appearing in Survey of Current Business. For Further Information See The National Income and Products Accounts of the United States, 1929-74— Statistical Tables, U.S. Government Printing Office, Washington, D.C., or write Infor- mation Services Division, Bureau of Economic Analysis, Department of Commerce, Washington, D.C. 20230.

Department of Commerce 87 DOMESTIC AND INTERNATIONAL BUSINESS ADMINISTRATION Social Knowledge Production and Application Obligations (Sthousands) Knowledge Production Activities Knowledge Application Activities Policy Policy Formula- Program General Implemen- Develop- Fiscal Re- tion Dem- Evalu- Purpose tation Dem- ment of Dissem- Year search onstrations ation Statistics Total onstrations Materials ination Total TOTAL 1975 2.477 3.386 5363 5.863 1976 2.843 4.096 6.939 6.939 1977 3.031 4.341 7.372 7.372 The Domestic and International Business Administration (DIBA) was created to bring together numerous programs of business assistance and trade development, both international and domestic, into a single operating agency. The aim of DIBA'S programs is to promote the growth of American industry and commerce, stimulate the expansion of U.S. exports, and strengthen the international commercial position of the United States. Research DIBA assists the Department of Commerce in the research, analysis, and formulation of international economic policy. This assistance is provided in four programs of research. INTERNATIONAL TRADE ANALYSIS DIBA provides economic analysis and assessment of statistical data concerning the foreign trade of the United States and other nations. This research includes analysis of current trends in U.S. foreign trade; forecasting of U.S. exports and imports, using overall and regional econometric models; and evalua- tions of shifts in the U.S. share of foreign markets. ECONOMIC RESEARCH This program aims to provide government policy makers with sound economic research upon which to base policy deci- sions pertaining to international economic and commercial issues. The program is largely quantitative in its approach to policy issues, utilizing forecasting methodology. Research topics include: multilateral trade negotiations; development of policy-oriented economic models; issues related to energy and raw materials; the implication on the world econ- omy of wealth transfer to the oil-producing countries; and the effects of inflating exchange rates and inflation in this country and abroad.

gg SURVEY OF FEDERAL AGENCIES EAST-WEST TRADE ANALYSIS This program studies ways in which the department can develop, formulate, and improve policies and activities to expand commercial relationships between the United States and nations with centrally planned socialist economies (CPE). This program develops policy and legislative proposals to resolve problems inherent in trade between the United States and the CPE nations. Research topics include: analysis of data concerning trade between the CPE na- tions and the Western industrialized nations; analysis of five-year eco- nomic plans and growth analyses from previous years to estimate for each CPE nation its ability to absorb U.S. exports on a sector-by-sector and industry-by-industry basis. POLLUTION ABATEMENT TRADE IMPACT This program provides Con- gress with an annual study assessing the economic impact of pollution control expenditures on international trade. The study includes deter- mining the costs of pollution abatement and control programs on U.S. and foreign manufacturers and the resulting effects on international trade. General Purpose Statistics DIBA serves as a major source of industry and commodity data, which are then provided to the business community. An industry data base is maintained and used in analyzing and assessing trends in selected in- dustrial sectors. Data are collected on 325 manufacturing industries and 222 wholesale and retail business and service trades. For Further Information Write Domestic and International Business Administration, Department of Commerce, Washington, D.C. 20230.

Department of Commerce 89 ECONOMIC DEVELOPMENT ADMINISTRATION Social Knowledge Production and Application Obligations (Sthousands) Knowledge Production Activities Knowledge Application Activities Policy Policy Formula- Program General Implemen- Develop- Fiscal Re- tion Dem- Evalu- Purpose tation Dem- ment of Dissem- Year search on strati on s ation Statistics Total on st rat ions Materials ination Total TOTAL 1975 6.118 1.000 200 7.318 1.020 1.020 8.338 1976 9.000 1.400 70 10.470 2.920 2.920 13.390 1977 10.000 1.400 20 1 1 .420 3.920 3.920 15.340 The mission of the Economic Development Administration (EDA) is to reduce the incidence of substantial and persistent unemployment in economically distressed communities. The aim of EDA is the long-range economic development of communities with severe unemployment and low family income. The agency attempts to improve the ability of state and local officials to resolve problems of economic adjustment and development by assisting in planning, coordination, and implementa- tion activities at all levels of government. The agency assists in eco- nomic development by making grants and loans to public and private enterprise to help create new permanent jobs. Research EDA'S research is aimed at determining the causes of unemployment, underemployment, and chronic economic depression in various com- munities and regions of the nation. The Office of Research also assists the agency in the formulation and implementation of programs that attempt to alleviate the problem of adverse economic conditions. EDA'S Office of Research concentrates on the following program areas. REGIONAL ECONOMIC STRUCTURES AND RELATIONSHIPS This prOgTam area studies patterns of migration and differential impacts of urban and rural areas and continually evaluates attempts at regional development. DATA DEVELOPMENT AND ANALYSIS This program area attempts to de- velop innovative measuring techniques and indices. More accurate measures are being developed on unemployment and underemploy- ment, income distribution, state and local tax burdens, and the geo- graphic distribution of federal programs and expenditures.

90 SURVEY OF FEDERAL AGENCIES ECONOMIC DEVELOPMENT ACTIVITIES AND PROCESSES ThlS program area studies institutional aspects of economic development to explore their interrelationships and to facilitate the development process. SUBNATIONAL IMPACT OF CHANGING NATIONAL POLICIES AND PRO- GRAMS This program area studies the impact of governmental decisions on the national and subnational economy. The programs analyze (through a variety of tools such as models, specialized studies, impact analysis, and evaluative and analytical techniques) the interaction of the real and projected national policies on the economics of distressed communities. An example of EDA research is the study, "A Myth in the Making: The Southern Economic Challenge and the North Economic Decline," which challenges the popular impression that the South has derived great economic benefit from favored treatment in government spending and a preferred status among businesses seeking new plant sites. The study discounts the impression that the South is significantly closing the gap between earnings there and in the North. The study found that the gap in earnings has closed somewhat but that the South is still riddled with poverty and other problems far greater than those facing the North. This survey found that many technical assistance activities funded by EDA were better categorized as research than technical assistance. EDA provides "technical assistance" funds at the local level for re- search on local economic conditions. This research is designed to assist the local communities in identifying specific economic problems hin- dering their economic growth. Technical assistance projects support university research, which concentrates on issues of broad regional development, business expansion, business stabilization, and new ven- ture development. Dissemination This activity includes technical assistance in which knowledge-based information is provided to states and local communities through con- sultants, etc. This type of technical assistance differs from that categorized as research. EDA funds many types of organizations to disperse information and assistance to economically distressed com- munities. The agency also supports research synthesis, another dis- semination activity.

Department of Commerce 91 For Further Information Write Office of Research, Economic Development Administration, Department of Commerce, Washington, D.C. 20230. MARITIME ADMINISTRATION Social Knowledge Production and Application Obligations (Sthousands) Knowledge Production Activities Knowledge Application Activities Policy Policy Formula- Program General Implemen- Develop- Fiscal Re- tion Dem- Evalu- Purpose tation Dem- ment of Dissem- Year search onstrations ation Statistics Total onstrations Materials ination Total TOTAL 1975 648 648 648 WK MM KM 894 1977 862 K2 862 The Maritime Administration is responsible for aiding the develop- ment, promotion, and operation of the U.S. merchant marine industry. It administers subsidy programs, constructs or supervises the con- struction of merchant-type ships, and provides for the operation and training of the U.S. merchant marine. The Maritime Administration also conducts technological R&D activities aimed at improving the efficiency and economy of the merchant marine. Research In fiscal 1977, the agency's social research obligations totaled under $1 million. The agency's social research activities consist of market analysis and transportation studies. The agency's research studies analyze trade data to assess new markets and provide trade data to the ship operating industry for its use in evaluating current transportation markets. For Further Information Write Maritime Administration, Department of Commerce, Washington, D.C. 20230.

92 SURVEY OF FEDERAL AGENCIES NATIONAL BUREAU OF STANDARDS Social Knowledge Production and Application Obligations (Sthousands) Knowledge Production Activities Knowledge Application Activities Policy Policy Formula- Program General Implemen- Develop- Fiscal Re- tion Dem- Evalu- Purpose tation Dem- ment of Dissem- Year search onstrations ation Statistics Total onstrations Materials ination Total TOTAL 1975 444 1.486 1.930 100 100 2.030 1976 573 3.204 40 3.817 45 45 3.862 1977 375 2.125 2.500 250 250 2.750 The National Bureau of Standards is the second-largest research and development agency within the Department of Commerce. The bureau's overall goal is to strengthen and advance the nation's science and technology and facilitate their effective application for the public benefit. The bureau has five components: 1. The Institute of Basic Standards provides a complete and consis- tent system of physical measurement and coordinates that system with measurement systems of other countries. 2. The Institute for Materials Research conducts research to provide a better understanding of the basic properties of materials and to develop ways for putting materials to better use. 3. The Institute for Applied Technology conducts research and applies the technology it has developed to building, fire, and domestic standards, electronics, and consumer product perform- ance and safety. 4. The Institute for Computer Science and Technology develops standards and provides scientific and technical guidance for the effective use of computer and automation technology in the fed- eral government. 5. The Experimental Technology Incentives Program (ETIP) investi- gates ways in which the federal government can stimulate technological innovation in the private sector. The ETIP program and two small programs within the Institute for Applied Technology were the only social knowledge production and application activities found in the National Bureau of Standards.

Department of Commerce 93 Research In addition to funding policy formulation demonstrations, ETIP funds a limited amount of research on topics of interest to it. ETIP recently funded a study of the management of federal civilian R&D programs. This project is designed to describe and analyze the practices of the federal government in the planning, implementation, management, and evaluation of civilian R&D programs. Another ETIP research project analyzed, through a series of case studies, the impact of regulations on technological innovations. While no dollar figures could be obtained, a small amount of social research is conducted by the Center for Consumer Product Technology within the Institute of Applied Technology. This program tries to im- prove understanding of the behavior, perceptions, and physical abili- ties of product users. Recent projects have: o examined the physical and intellectual characteristics of the users in relation to the physical nature and design of the product; o developed methods for measuring people's perception of the de- gree of risk associated with the use of consumer products; o developed methods for assessing human reactions to safety- related changes made in consumer products; and o completed a study of patterns of consumer use and abuse and identified product characteristics that influence consumer behavior and accidents. Policy Formulation Demonstrations The major activity of ETIP is to fund small-scale experiments—policy formulation demonstrations—to test hypotheses concerning policies that the federal government can use to stimulate technological innova- tions in the private sector. These experiments are real-world interven- tions made in an effort to find out what results will occur when a policy or practice is changed. The experiments are usually conducted in con- junction with another federal agency. Major topics of experiments are listed below. PROCUREMENT Examines the hypothesis that several procurement tools can be used to reduce the risks of market entry for technologically improved products. REGULATION Tests methods for improving the regulatory environment by removing unnecessary barriers to desirable technological change.

94 SURVEY OF FEDERAL AGENCIES CIVILIAN RESEARCH AND DEVELOPMENT TeStS prOCedlireb that JITC bfi- lieved to contribute to more effective use of research and development funded by the federal government. ECONOMIC ASSISTANCE Investigates whether economic assistance fur- nished by the government can be more effectively used to promote desirable technological change. ETIP has worked with the General Services Administration and the Veterans Administration on procurement. Experiments were con- ducted on the use of performance specifications and value incentive clauses. Another focus of ETIP activities has been government regula- tory policy; an experiment was conducted with the Nuclear Regulatory Commission to determine whether the time needed to devise standards could be shortened. With regard to small business assistance, ETIP helped establish a quasi-public corporation with the state of Connec- ticut that paid seed money to small firms for product innovation. All experiments have an evaluation component that is included as part of the cost for the experiment. Policy Implementation Demonstrations The Institute of Applied Technology conducts evaluations of the socioeconomic effects of the MIUS (Modular Integrated Utility System) demonstrations, sponsored by the Department of Housing and Urban Development, to show that a total energy system (providing in a single package electricity, heating, air conditioning, and hot water) is possible in a residential/commercial complex. Since MIUS is a policy implemen- tation demonstration, the cost for its evaluation has been presented in this category. For Further Information Write Office of Technical Publications, National Bureau of Standards, Department of Commerce, Washington, D.C. 20234.

Department of Commerce 95 NATIONAL FIRE PREVENTION AND CONTROL ADMINISTRATION Social Knowledge Production and Application Obligations (Sthousands) Knowledge Production Activities Knowledge Application Activities Policy Policy Formula- Program General Implemen- Develop- Fiscal Re- tion Dem- Evalu- Purpose tation Dem- ment of Dissem- Year search onstrations ation Statistics Total onstrations Materials ination Total TOTAL 1975 100 254 354 120 211 331 685 1976 100 322 422 200 120 377 697 1.119 1977 103 333 436 200 126 463 789 1.225 The primary mission of the National Fire Prevention and Control Ad- ministration (NFPCA) is to reduce the loss of life and property through better fire prevention and control. The agency attempts to provide a coordinated program to support and reinforce the activities of state and local governments. Among the principal functions of the agency is the advancement of the professional development of fire service person- nel. Research The administration conducts a small research program to establish, through research and testing, a public fire prevention education pro- gram. Studies have been conducted on alternative educational ap- proaches to reach high-risk groups. Another study has examined the delivery system of fire prevention programs. A major study is being cosponsored with the Center for Fire Research at the National Bureau of Standards to determine why the United States leads the Western world in the number of fire deaths. General Purpose Statistics The agency assembles and analyzes statistical fire data, such as fire incidence and number of injuries incurred. The data are then used to identify causes of the most significant fire losses, establish priorities for R&D efforts, and measure the effects of new mandatory standards, test methods, and building codes in reducing fire losses.

96 SURVEY OF FEDERAL AGENCIES Policy Implementation Demonstrations To improve the fire service educational system, the agency administers grants to state and local training institutions for pilot projects to use new curriculum materials or innovative approaches in fire education and training programs. Development of Materials A major responsibility of the National Academy of Fire Prevention and Control, established by the NFPCA, is the advancement of professional development of fire service personnel and other persons engaged in fire prevention and control. In this role, the academy contracts out the development of course curricula. Courses have been developed on: labor-management relations, administration of public fire education programs, fire safety, community planning, etc. Dissemination The NFPCA administers a variety of dissemination programs. The Na- tional Fire Reference Service collects, analyzes, and disseminates fire-relevant documentation, such as fire codes and regulations, to the user community. The reference service has recently developed and implemented an information dissemination network that routes priority and routine managerial reports to the fire service community. The National Fire Analysis and Information Service provides an accurate nationwide analysis of fire problems, identifies major problem areas, disseminates potential solutions to problems, and monitors the prog- ress of programs to reduce fire losses. For Further Information Write Office of Information Services, National Fire Prevention and Control Administra- tion, Department of Commerce, Washington, D.C. 20230.

Department of Commerce 97 NATIONAL OCEANIC AND ATMOSPHERIC ADMINISTRATION Social Knowledge Production and Application Obligations (Sthousands) Knowledge Production Activities Knowledge Application Activities Policy Policy Formula- Program General Implemen- Develop- Fiscal Re- tion Dem- Evalu- Purpose tation Dem- ment of Dissem- Year search onstrations ation Statistics Total onstrations Materials ination Total TOTAL 1975 5.281 5.281 5.281 1976 5.289 5.289 5.289 1977 6.111 6.111 6.111 The National Oceanic and Atmospheric Administration (NOAA) has the largest research and development budget in the Department of Commerce—a total of $148 million in fiscal 1977. Of that total, $6 million was obligated for social research activities. The agency con- ducts R&D on: ocean fisheries, marine life, the environment, and the weather. In addition to its R&D activities, NOAA is responsible for administer- ing mapping, charting, and survey services; ship support services; coastal management services; reporting and forecasting the weather of the United States; and providing satellite observations of the environ- ment. Research Social research within NOAA is conducted primarily in two programs. SEA GRANT PROGRAM This program area provides matching grants to public and private universities, institutes, and industries seeking solu- tions to problems related to the management and use of marine re- sources. Social research is conducted on marine environmental re- search and marine socioeconomic and legal research. Marine environmental research attempts to manage and protect the coastal resources in the face of multiple-use conflicts. The Coastal Zone Management Program, which encourages optimum resource management through improved and realigned intergovernmental rela- tionships at the federal, state, and local levels, has been studied. The social and economic impacts of offshore oil production in the New England region has been examined. Social research is also conducted in the marine socioeconomic and legal research program. The program was prompted because many

98 SURVEY OF FEDERAL AGENCIES promising new commercial developments are either not undertaken or fail because of the absence of related information on the economy, law, regulations, and public opinion. Much of the early work in this program has involved organizing and analyzing the many existing federal, state, and local laws by which marine businesses must operate. With grants from NOAA, the rapidly changing marine and coastal zone laws have been monitored and interpreted by universities; economists, lawyers, and political scientists have studied the potential impact on the fishing industry of proposals for the enactment of limited-entry legislation by states and the international adoption of a 200-mile economic zone. NATIONAL MARINE FISHERIES SERVICE The service is responsible for fostering the effective management, economic use, and protection of fisheries and the marine environment. Of major concern to the service is the economics of managing and using fishery resources. Economic analyses of the harvesting, processing, and marketing sectors of the fishing industry are undertaken; studies are conducted to identify and anticipate problems, assess developmental opportunities, and evaluate programs and policies concerning the commercial and recreation fish- ing sectors of the economy. Short-term research provides up-to-date documentation of the current situation and outlook for major U.S. fisheries and responses to problems concerning market shortages and gluts, price fluctuations, energy problems, and other federal, industry, and consumer needs. For Further Information See The National Sea Grant Program: A Review, a publication of NOAA, or write Na- tional Oceanic and Atmospheric Administration, Department of Commerce, 6010 Execu- tive Blvd., Rockville, Md. 20852.

Department of Commerce 99 OFFICE OF MINORITY BUSINESS ENTERPRISE Social Knowledge Production and Application Obligations (Sthousands) Knowledge Production Activities Knowledge Application Activities Policy Policy Formula- Program General Implemen- Develop- Fiscal Re- tion Dem- Evalu- Purpose tation Dem- ment of Dissem- Year search onstrations ation Statistics Total onstrations Materials ination Total TOTAL 1975 1.498 990 2.488 505 505 2.993 1976 362 1.004 1.366 517 517 1.883 W77 W5 1.008 1.373 520 520 1.893 The mission of the Office of Minority Business Enterprise (OMBE) is to develop and coordinate a national program for minority business en- terprises. Created in 1969, OMBE has the responsibility for coordinating the efforts of the federal government to establish, preserve, and strengthen minority businesses. The agency promotes the mobilization of activities and resources by public, private, state, and local organiza- tions and other institutions toward the growth and expansion of minor- ity businesses. OMBE also provides funds to establish and assist community-based business development organizations. Research Funds for the OMBE research program have decreased in recent years. After the agency was created, one of its major problems was the scar- city of solid data. Little was known about the number, size, capa- bilities, and locations of minority enterprises, and even less was known about the nature of the capital, marketing, and management gaps that hindered minority enterprises. As a consequence, OMBE'S research program attempts to provide that knowledge. OMBE is now funding an exhaustive study to identify the precise nature of the capital gap and to determine what economic incentives are needed to stimulate private investment in minority ventures. Other studies have examined the special problems of Asian-American busi- nesspeople and of women starting and operating their own businesses and have surveyed the Hispanic markets in Chicago and San Antonio to determine buying patterns as an aid to Hispanic businesses. Policy Formulation Demonstrations Demonstration projects are funded by OMBE to gain additional knowl- edge about minority business conditions, ways to stimulate minority

100 SURVEY OF FEDERAL AGENCIES business development, and the causes and failures of minority busi- ness. Projects are also funded to test alternative methods of providing services currently being delivered through the existing system. The goal of these demonstrations is to gain new knowledge—clearly fitting the definition of policy formulation demonstrations. OMBE is currently funding a project in which a business assistance organization is operating under an incentive fee contract. This project was designed to test the use of incentive fees as a stimulus toward greater productivity of OMBE organizations. Another project is testing the feasibility of the user-fee concept. OMBE has funded a project that tests the feasibility of a "factory representative" approach for minority businesses. Policy Implementation Demonstrations Demonstration projects are also funded by OMBE to promote a particu- lar approach. These projects are intended to serve as models for others to use. OMBE has funded several demonstrations concerned with rural business development; one project dealt with improved marketing by a Chicano cooperative, and another dealt with marketing seafood prod- ucts by Pacific Northwest Indian tribes. In both cases, it was the inten- tion of these demonstrations to serve as models to be implemented by similar groups in other locations across the country. For Further Information Write Office of Minority Business Enterprise, Department of Commerce, Washington, D.C. 20230. OFFICE OF TELECOMMUNICATIONS Social Knowledge Production and Application Obligations (^thousands) Knowledge Production Activities Knowledge Application Activities Policy Policy Formula- Program General Implemen- Develop- Fiscal Re- tion Dem- Evalu- Purpose tation Dem- ment of Dissem- Year search onstrations ation Statistics Total onstrations Materials ination Total TOTAL 1975 30 30 2,207 2,207 2.237 1976 30 30 1.505 1.505 1.535 IJ77 30 30 1.330 1.330 I.360 The major objective of the Office of Telecommunications (OT) is to help reduce uncertainty about the development of new high-technology

Department of Commerce 101 telecommunications systems and services. Its primary mission is to improve human comprehension of telecommunications sciences and use the nation's growing telecommunications resources more effec- tively. The office has four major activities: conduct of telecommunica- tions research and development; exploration of how telecommunica- tions systems can be most efficiently used; conduct of engineering analysis; and providing of analysis to government policy makers. The office's social research activities involve providing analysis to govern- ment policy makers. Prior to the July 1977 reorganization of the Executive Office of the President, the Office of Telecommunications worked directly for the Office of Telecommunications Policy (OTP) in the Executive Office of the President, providing OTP with background research and analysis that is vital to policy decision making in the telecommunications area, or was funded by OTP. While the funds reported above were techni- cally obligated by OTP, we have presented them under OT. The reor- ganization transferred OTP responsibilities to an expanded OT in the Department of Commerce. Dissemination The staff of the OT felt that its social research activities might best be described as "research synthesis," a dissemination activity, rather than as research. OT conducts little original research and instead at- tempts to synthesize existing knowledge. Its policy analysis activities are conducted by the Policy Support Division, which operates as a staff to the OTP. Projects of the Policy Support Division, which tend to be multidisciplinary, attempt to compile, analyze, and systematize re- search about the issues that come before OTP. These background data are aimed at assisting OTP in making policy decisions. The technical, legal, economic, and social aspects of issues are analyzed. The Electronic Funds Transfer Systems (EFTS) were recently studied by OT because the systems posed a number of serious telecommunica- tions policy questions: What overall social effects will EFTS have? What are the dangers of fraud or robbery by its customers? Might it encroach on an individual's privacy? How might the government use it? This study provided OTP with some of the information and analyses needed to determine the potential impact and policies toward EFTS. The office has also recently analyzed and prepared syntheses on the following issues: o the regulatory problems, costs, demand, and potential impacts of "radio paging" systems;

102 SURVEY OF FEDERAL AGENCIES o the pricing systems that should be used in regard to cable televi- sion; o the impact on telecommunications of the Trade Act of 1974; o the telecommunications policies of 18 major foreign countries with regard to the United States; o regulatory laws on international telecommunications; and o review of transatlantic telecommunications facilities require- ments—demand forecasting, cost analysis, and review of regulatory considerations. For Further Information Write Office of Telecommunications, Department of Commerce, 1325 G Street, N.W., Washington, D.C. 20005. U.S. TRAVEL SERVICE Social Knowledge Production and Application Obligations (Sthousands) Knowledge Production Activities Knowledge Application Activities Policy Policy Formula- Program General Implemen- Develop- Fiscal Re- tion Dem- Evalu- Purpose tation Dem- ment of Dissem- Year search onstrations ation Statistics Total onstrations Materials ination Total TOTAL 1»75 483 235 718 718 1978 483 235 718 718 IOT7 518 235 753 753 The U.S. Travel Service (USTS) was established to develop, plan, and carry out a comprehensive program to stimulate and encourage travel to the United States by residents of foreign countries. By promoting tourism to the United States from abroad, the agency helps to alleviate the travel deficiency in our international balance of payments and pro- motes friendly understanding and good will among peoples of foreign countries and the United States. Research The Office of Research and Analysis within USTS assists in program planning and developing the overall marketing approach of the agency. Marketing research studies are designed to provide detailed data on the characteristics of potential travelers to the United States—their at-

Department of Commerce 103 titudes, preferences, and perceptions, with respect to the United States and other competitive destinations, etc. The office also assesses the origin and volume of current and future demand for travel to the United States. USTS attempts to improve the quality and comprehensiveness of tourism data as well. Specific studies have been: o general update of the consumer studies in primary USTS markets (Canada, Mexico, Japan, United Kingdom, Germany, and France). Information is obtained on travelers to the United States from these countries—their length of stay, purpose of travel, expenditures, de- gree of satisfaction with the trip, etc.; o research on the economic impact of international tourism in the United States in terms of income, jobs, and tax benefits at the national, state, and local levels; and o market segmentation studies that focus on selecting key segments within the countries in which USTS operates. Such studies will investi- gate particular travel segments such as the ski market, travel market, family market, etc. Program Evaluation This activity includes designing and implementing evaluations of the effectiveness of USTS programs and activities. These studies include: o market development evaluations: surveys on individuals who have traveled to the United States on tour programs that have received fund- ing support by USTS, to determine the degree to which these programs developed "new" traffic to the United States; o sales development evaluations: attempts to determine the dif- ference in growth rates in sales to the United States between retail travel agents whom USTS services (travel planning center) and those whom USTS does not service; and o promotional activity evaluation: surveys conducted to indicate the degree to which USTS advertisements are seen, read, and recalled in the marketplace. For Further Information Write U.S. Travel Service, Department of Commerce. Washington, D.C. 20230.