Considers the effects of the geographical distribution of federally funded RPD programs on the employment and manpower situations of local and national economies. Includes discussion of the so called "brain drain," through which scientists from midwestern areas relocate on the coasts where lucrative Federal contracts have increased salaries.

As the current U.S. defense budget drawdown has progressed, numerous analysts have expressed concern about the ability of the United States to retain technological superiority, particularly given how research and development (R&D) contracting appears to be in serious decline. To examine what has happened within the federal R&D contracting portfolio, CSIS has analyzed trends in federal contracting. Using federal contract data from the publicly available Federal Procurement Data System, this study explains what has happened to federal R&D contracting and the industrial base that supports it.