Washington, DC - America’s life sciences industry leads the world with innovations in biomedical science, biotechnology, agriculture, and medical devices. This industry’s products help Americans live longer and healthier lives. It employs 1.4 million Americans and accounts for 1/3 of all research and development expenditures by private U.S. firms.
Investment in research and development in life sciences creates good, high-paying jobs; keeps the United States on the cutting edge of global competitiveness; and enhances the quality of life not only for Americans, but for people everywhere.
"In this vital area of the economy, America is falling behind. Other countries are increasing their incentives for R&D in an aggressive effort to attract investment and the high-paying jobs that go with it," said Vice Chairman of the Joint Economic Committee, Congressman Kevin Brady. "America’s share of the world’s research and development pie is shrinking as our global competitors are taking a page from our playbook and beating us at it. In 1981 America led the world as the first to create an R&D tax credit. By 2009 we ranked 24th out of 28 countries in the strength of our R&D incentives."
"We need to rethink our approach to incentives," says Brady. "It’s time we modernize the R&D tax credit; strengthen it to encourage companies to make even more substantial investments in research and hiring; and make it permanent so businesses and investors have the confidence to make long-term decisions."
Download full PDF of Vice Chairman Brady's opening statement and witness testimonies below.