Summary: A national policy for planning and resource allocation for science and technology programs is needed. There is a high positive correlation between research and development (R&D) investment and economic growth. The federal government must continue to provide major support for basic research and it is important to provide a stable base of funding from year to year. Criteria are needed for determination of how and when the federal government should provide direct support for R&D to stimulate technological innovation for commercial purposes. The Office of Science and Technology Policy (OSTP) is the logical agency to speak for the Administration's strategy and priorities in the budget for R&D. The Commission on Government Procurement believed that Congress was unable to review R&D requests effectively and urged that Congress adopt a mission end-purpose approach to budgeting. GAO agreed that the mission budget approach should be implemented in the agencies, but that the governmentwide budget should also be developed.