This book summarises current research and development priority-setting issues - in terms of spending priorities, topical or field-specific priorities, and organisational arrangements to determine priorities. Federal R&D funding priorities have shifted over time, reflecting presidential preferences, congressional appropriations, and national priorities. Defence R&D predominated in the 1980s but decreased to about 50% of total federal R&D in the 1990s, reflecting Clinton Administration policies. In non-defence R&D, space was important in the 1960s as the nation sought to compete with the Soviet Union in the space race; energy R&D joined space as a priority during the 1970s; and since the 1980s, health R&D funding has grown as the cohort of aged population increases and the promise of life sciences and biotechnology affects national expectations. Defence and counter-terrorism R&D funding have been increased since the 9/11 terrorist attacks. Together, Department of Defense (DOD) and National Institutes of Health (NIH) funding total about 77% of the FY2007 R&D request.