Financing forest sector research: theory and European experiences. Based on a paper presented at the 20th IUFRO World Congress in Tampere, Finland, in August 1995
1998
Hellstroem, E. | Palo, M. | Solberg, B.
The need to reduce public expenditures has brought about the question of privatization of research in many countries. Research can be privatized by increasing private involvement in research funding, in the ownership of research organizations, or in decision making on research activities. In this paper, a theoretical framework for research investment and criteria for public and private involvement in forest sector research are presented. Then, findings from a European survey of private and public forest sector research, and case studies on the impact of changing funding levels and patterns on research activities in the forest sectors of Finland and Norway are presented. Theoretically, there exist many reasons to expect public funding to dominate in forestry research. This was also empirically confirmed: excluding research conducted in individual firms, only nine per cent of European forestry research is conducted at private organisations. Both Finland and Norway have promotedincreased private involvement in forest sector research, but with slightly different science policies. A major challenge has become maintaining the present intensity of research in Finland, and a sufficient level of basic and theoretical research in Norway. Both countries have faced decreased freedom of research and an increase of short-term projects. The findings of these surveys give strong support to the presented theories, and as a result, recommendations on organising forest sector research andfuture studies are given.
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