WASHINGTON, D.C. — The Coalition for a Prosperous America (CPA) today highlighted the critical roles that the National Science Foundation (NSF) and the National Institutes of Health (NIH) play in advancing innovation, supporting American manufacturing, and maintaining U.S. technological and scientific leadership. As policymakers consider the future of industrial policy, CPA urges continued robust support for these agencies, whose foundational research and development have historically powered economic growth, strengthened supply chains, and enhanced U.S. national security.
In their new book, Industrial Policy for the United States: Winning the Competition for Good Jobs and High-Value Industries, Marc Fasteau, Vice Chairman of CPA, and Ian Fletcher, a member of CPA’s Advisory Board and former Senior Economist, show how the U.S. can reclaim its competitive edge with a three-pillar industrial policy:
- Support for innovation and commercialization across key industries
- Comprehensive protection from predatory foreign competition – inc. tariffs
- Systematic reduction of the overvalued U.S. dollar (the 16% headwind on U.S. businesses few are talking about)
As former Senator and current Secretary of State Marco Rubio said, “America needs a new economic consensus to overthrow decades of industrial decline and subservience to Communist China. This book lays the intellectual groundwork for that consensus-one that would make for a stronger, more prosperous nation. It couldn’t come at a better time.”
Industrial Policy for the United States is a comprehensive analysis of industrial policy that delves into its underlying economic theory, successes and failures in other countries, America’s past and present programs, and how industrial policy applies in key industries—automobiles, semiconductors, space, aviation, robotics, and nanotechnology. While the most recent presidential administrations have embraced some aspects of industrial policy, the authors urge much more aggressive, coordinated, and systematic measures
For decades, NSF and NIH have been instrumental in funding early-stage research leading to groundbreaking innovations. NSF-backed initiatives have laid critical groundwork for advances in semiconductors, artificial intelligence, advanced materials, and other essential technologies. Similarly, NIH funding has been central to breakthroughs in biotechnology, pharmaceuticals, and healthcare innovations, making the U.S. a global leader in medical science and commercialization.
“Strong federal investment in the National Science Foundation and National Institutes of Health is vital for American innovation, economic growth, and national security,” said Marc Fasteau, Vice Chairman of CPA and author of Industrial Policy for the United States: Winning the Competition for Good Jobs and High-Value Industries. “NSF and NIH have consistently fostered groundbreaking research that translates into real-world industrial and medical applications, creating American jobs and keeping our nation competitive against global rivals. It’s critical we ensure that taxpayer dollars continue fueling American innovation rather than subsidizing our competitors. For example, NIH funding supported 354 of the 356 drugs (99.4%) approved from 2010 to 2019, helping our citizens live longer and healthier lives.”
CPA emphasizes the importance of NSF and NIH programs in sectors where geopolitical competitors, notably China, are aggressively targeting global leadership. Both agencies’ research funding is essential in maintaining and growing U.S. manufacturing and R&D capabilities, especially in high-value, strategically important industries and technologies.
“As America’s global rivals seek to dominate high-value industries, the National Science Foundation and the National Institutes of Health remain indispensable in driving U.S. scientific and technological leadership,” said Ian Fletcher, CPA Advisory Board Member and author of Industrial Policy for the United States: Winning the Competition for Good Jobs and High-Value Industries. “Investing in NSF and NIH is investing in America’s economic security, health, and future prosperity. Policymakers must protect these essential programs to ensure innovation remains firmly rooted in the United States, benefiting American businesses, workers, and patients.”
As Congress and the Administration evaluate U.S. industrial policy priorities, CPA strongly supports preserving and defending NSF and NIH programs. Both agencies are foundational to the nation’s continued leadership in emerging technologies and medical advances, and they provide the basis for sustained American industrial competitiveness and prosperity.
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