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National Innovation Forum
Committee for Economic Development of Australia
7 July 2009
Senator Kim Carr
Minister for Innovation, Industry, Science and Research
Research and innovation budget
$ millions
$9,000
}
$8,500
$8,000
$7,500
$7,000
$6,500
$6,000
$5,500
$5,000
$4,500
$4,000
2009-10
2008-09
2007-08
2006-07
2005-06
2004-05
2003-04
2002-03
2001-02
2000-01
Source: DIISR
25%
increase
The long view: China
China’s share of global GDP
1990 international Geary-Khamis dollars
35%
30%
25%
20%
15%
10%
5%
0%
1820
1870
1913
1950
1973
Source: Maddison (2003)
2001
2006
The long view: UK, US, Germany
UK-US-German share of global GDP
1990 international Geary-Khamis dollars
45%
40%
35%
30%
25%
20%
15%
10%
5%
0%
1820
1870
1913
1950
1973
Source: Maddison (2003)
2001
2006
Business R&D as a share of GDP
Australia and China
Trend
{
1.4%
China
1.2%
Australia
1.0%
0.8%
0.6%
0.4%
0.2%
0.0%
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
Source: ABS, OECD, MOST
2005
2006
2007
2008
2009
National Innovation Forum
Committee for Economic Development of Australia
7 July 2009
Senator Kim Carr
Minister for Innovation, Industry, Science and Research
Economic growth
March quarter GDP growth
1
Per cent
Per cent
1
Australia
Poland
Korea
Norway
Switzerland
Sweden
France
-7
Greece
-7
Belgium
-6
Canada
-6
Portugal
-5
US
-5
Spain
-4
UK
-4
Hungary
-3
Italy
-3
Austria
-2
Netherlands
-2
Czech Rep.
-1
Germany
-1
Japan
0
Mexico
0
Note: Czech Republic quarterly growth is an estimate based on preliminary through the year data.
Unemployment rates
May 2009
10
Per cent
Per cent
10
9
9
8
8
7
7
6
6
5
5
4
4
US
France **
Canada
Germany
UK **
Italy ***
Australia
*
Japan *
April 2009
** March 2009
*** December 2008
Stimulus effect on GDP growth
0.6
Per cent
Per cent
0.6
0.4
0.4
0.2
0.2
0.0
0.0
-0.2
-0.2
-0.4
-0.4
-0.6
-0.6
-0.8
-0.8
Without stimulus
Actual
-1.0
-1.0
-1.2
-1.2
Dec-08
Mar-09
Stimulus effect on unemployment
11
Per cent
Per cent
Forecasts
10
11
10
9
9
8
8
7
7
6
6
5
5
4
4
3
3
Jun-07
Jun-08
Jun-09
Pre-stimulus
Source: ABS and Treasury
Jun-10
Post-stimulus
Jun-11
Business R&D follows GDP
OECD annual growth divided by SD
7
6
5
4
3
2
1
0
-1
2006
2004
2002
2000
BERD
1998
1996
1994
1992
1990
1988
1986
1984
1982
GDP
A new Super Science Initiative to
explore the knowledge frontier
 $160.5 million for Super Science - Space and
Astronomy
 $387.7 million for Super Science - Marine and
Climate
 $504.0 million for Super Science - Future
Industries
 $27.2 million for 100 new Super Science
Fellowships
 $11.3 million in support for Questacon
More support for world-class
university research
 $512.0 million for the Sustainable Research
Excellence in Universities initiative
 A new Joint Research Engagement program,
replacing the Institutional Grants Scheme
 $52.0 million to establish Collaborative Research
Networks
 $51.7 million to increase the Australian
Postgraduate Award
 $35.8 million for Excellence in Research for
Australia
 $51.6 million to improve the indexation of research
block grants
More support for Australia’s business
innovators
 A new R&D Tax Credit
 Simpler, more generous, and more predictable
 45 per cent refundable credit for small Australian
firms
 40 per cent non-refundable credit for all other firms
– including internationals
 Worth up to $1.4 billion a year to business
 Plus $65.0 million to extend the R&D Tax Offset in
2009-10
More support for Australia’s business
innovators
 A new Commonwealth Commercialisation
Institute
 $196 million over four years, and $82 million a
year thereafter
 To support the commercialisation of new ideas from
business, universities and public research
agencies
 To build capacity and attract private sector
investment
 Consultations on design under way
National Innovation Forum
Committee for Economic Development of Australia
7 July 2009
Senator Kim Carr
Minister for Innovation, Industry, Science and Research