This article focuses on the organized knowledge transformation which is becoming a major joint effort of government agencies, universities, and private industry. New knowledge in its various forms often can be translated into novel processes, materials, products and procedures. Some such technological advances increase the quantity of existing goods and services the economy can produce, while others provide us with goods and services which were not available before and which meet certain needs better than did previously available alternatives. new knowledge that is transformed from specialized space and military uses into commercial uses contributes to economic growth in two ways, it increases the ability of the economy to produce more of the old goods and services and to produce new ones. The United States today faces a wide variety of problems, many of our cities are blighted and congested; first-rate education and health care are available to far too small a proportion of those who need them; there are pockets of poverty at home, and there is widespread poverty abroad.