"For many policy makers, the role of government in promoting innovation is principally to provide ample funds for R&D while supplying the private sector with the right incentives to innovate. While these are important policies in their own right, driving innovation through the procurement process often constitutes low-hanging fruit. All governments purchase goods and services; making innovation an explicit goal in public procurement not only helps improve public services but also spurs innovation in the broader economy and the jobs that this creates" (ITIF, 2010).
http://www.itif.org/files/2010-buying-innovation-analysis.pdf
Source: ITIF
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