6 MEASUREMENT OF EXPENDITURES DEVOTED TO R&D

6.7. National totals

6.7.1. Gross domestic expenditure on R&D (GERD)

423.

GERD is total intramural expenditure on R&D performed on the national territory during a given period.

424.GERD includes R&D performed within a country and funded from abroad but excludes payments for R&D performed abroad. GERD is constructed by adding together the intramural expenditures of the four performing sectors. It is often displayed as a matrix of performing and funding sectors (see Table 6.1). GERD and the GERD matrix are the basis of international comparisons of R&D expenditures. They also provide the accounting system within which the institutional classifications and functional distributions may be applied.

425.It would be useful to have separate tables for defence and civil GERD, in order to map how trends in these areas affect the level and structure of total GERD. This is particularly true for countries with significant defence R&D programmes. The separation is encouraged for other countries as well, as a way to increase the comparability of data on civil R&D.

6.7.2. Gross national expenditure on R&D (GNERD)

426.The GNERD aggregate comprises total expenditure on R&D financed by a country’s institutions during a given period. It includes R&D performed abroad but financed by national institutions or residents; it excludes R&D performed within a country but funded from abroad. It is constructed by adding the domestically financed intramural expenditures of each performing sector and the R&D performed abroad but financed by domestic funding sectors (see Table 6.2). It gives some supplementary information on R&D cooperation between different kinds of units.

427.To allow for the identification of R&D activities of international organisations, the “Abroad” sector should have sub-categories for international organisations, as recommended in the institutional subclassification (see Chapter 3, Section 3.8.3).

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Table 6.1. Gross domestic expenditure on R&D (GERD)

	Funding sector			Sector of performance			Total
			Business enterprise	Government	Private non-profit	Higher education
	Business enterprise						Total domestic performance financed
							by the business enterprise sector
	Government						Total domestic performance financed
							by the government sector
	Public general university funds (GUF)						Total domestic performance financed
							by public general university funds
							(GUF)
	Higher education						Total domestic performance financed
							by the higher education sector
	Private non-profit (PNP)						Total domestic performance financed
							by the private non-profit sector
	Abroad						Total domestic performance financed
							by abroad
	•	Foreign enterprises
		– Within the same group
		– Other
	•	Foreign government
	•	European Union
	•	International organisations
	•	Other
	Total		Total performed	Total performed	Total performed	Total performed	GERD
			in the business enterprise	in the government sector	in the private non-profit	in the higher education
			sector		sector	sector

Source: OECD.

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Table 6.2. Gross national expenditure on R&D (GNERD)

				Sector of performance
		National territory				Abroad
Funding sector									Total
					Business enterprise
	Business		Private	Higher			International
		Government						Other
					Within the same	Other business
	enterprise		non-profit	education			organisations
					group	enterprise
Business enterprise									Total financed by the
									business enterprise
									sector
Government									Total financed by the
									government sector
Public general									Total financed by public
university funds (GUF)									GUF
Higher education									Total financed by the
									higher education sector
Private non-profit									Total financed by the
									PNP sector
Total	Total nationally	Total nationally	Total nationally	Total nationally	Total nationally	Total nationally	Total nationally	Total nationally	GNERD
	financed	financed	financed	financed	financed	financed	financed	financed
	performed	performed in	performed	performed	performed	performed	performed	performed
	in the business	the government	in the private	in the higher	abroad	abroad in other	abroad	abroad in other
	enterprise	sector	non-profit	education	in business	business	in international	organisations
	sector		sector	sector	enterprise	enterprise	organisations
					within the same
					group

Source: OECD.

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ISBN 92-64-19903-9

Frascati Manual 2002

Proposed Standard Practice for Surveys on Research and Experimental Development

© OECD 2002

Chapter 7

Survey Methodology and Procedures

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