| interest    groups will have to lobby for this increased funding. This suggests that    policy makers and advocates for AKST activities that increase environmental    sustainability, achieve economically sustainable development, improve    nutrition and health, and reduce poverty, should attempt to put together an    AKST investment portfolio that attracts groups beyond the traditional    agricultural community. The investment areas listed above, which can meet    multiple criteria, could be attractive to these different groups. As    indicated above, many AKST investments can meet multiple goals. Other    investments primarily meet one goal but still play a valuable role and should    not be eliminated because they do not make major contributions to all of the    goals. For example, private research to increase poultry productivity may    create increased pollution, but this does not mean that governments should    try to prevent private poultry research. A more appropriate approach may be    to encourage the private sector to do productivity-enhancing research but at    the same time prevent the potential pollution through more effective    enforcement of laws against pollution, by mandating waste management plans    or by public sector research to development management systems which reduce    pollution and improved public health.One strategy is to make small public    investments in an enabling policy environmental that would encourage private    research and shift public research into the production of public goods and    meeting other social goals such as improving the environment or developing    technology for resource poor farmers or into basic research. For example,    many countries could reduce their public research investments on improving    the productivity hybrid maize, which will be done by the private sector, and    shift those resources into productivity-enhancing research on cassava or open    pollinated varieties of maize grown by poor people. Or the resources could be    shifted into fertilizer and pest management to reduce overuse of chemicals    that create pollution and can harm human health. Shifting more public AKST    investments to increase the productivity and adoption of organic agriculture    for which markets are available can also reduce the use of nonorganic    pesticides and chemical fertilizers.
 8.4.3    Future AKST investment levels and priorities 8.4.3.1    Levels of AKST investmentsMore    government funding and better targeted government investments in AKST in    developing countries can make major contributions to meeting development    goals. The evidence of returns to AKST investments shows that public    investments have high payoffs, in the order of 40-50% and can reduce poverty    (see 8.2.4 and 8.2.8). These returns are high compared to other public sector    investments and evidence shows that AKST investments are one of the most    effective ways to reduce poverty. In addition, public investments in AKST    can be used to reduce agriculture's contribution to global warming and to    improve public health. However, to do this public investments must be    targeted using evidence other than the ROR, which usually do not include    environmental and human health impacts, positive or negative, or the    distribution of costs and benefits among different groups.
 |   |           Increasing investments in    agricultural research, innovation, and diffusion of technology by for-profit    firms can also make major contributions to meeting development and    sustainability goals. Private firms both large and small have been and in the    future will continue to be major suppliers of inputs and innovations to both    commercial and subsistence farmers. They will not provide public goods or    supply goods and services for which there is no market; but evidence shows    that there are spillovers from private suppliers of technology to farmers    and consumers. However, private research intensity in developing countries is    only one hundredth of the corresponding ratio in industrialized countries.    To make the best use of private investments in AKST, governments must provide    both government regulations to guard against negative externalities and    monopolistic behavior and support good environmental practices providing    firms with incentives to invest in AKST.
 8.4.3.2    Allocation of AKST resources
 Social    science research to assist priority-setting, to measure the impact of past    AKST investments in health and the environment, to improve AKST and    complementary institutions and policies, and to link with indigenous    knowledge is a high priority investment. One of the major constraints of this    assessment is the lack of evidence on both the positive and negative impact    of AKST on the environment, human health, and, to a lesser extent, on poverty    reduction (see 8.2.5, 8.2.6, 8.2.8). Investments are needed to develop better    methodologies and indicators to measure these impacts, both with monetary and    nonmonetary values. In addition, investments are needed to develop better    methods for measuring the contributions of indigenous knowledge, social    science research on institutions and policies, the value of improving    governance systems, and better priority-setting tools and methods. Finally    more investments are needed in research priority setting processes in    developing countries which include both social and natural scientists and    input from stakeholders (see 8.4.1).
 AKST investments that can increase    the productivity of agriculture and improve the existing traditional systems    of agriculture and aquaculture in order to conserve scarce resources such as    land, water and biodiversity remains a high priority. The major resource    constraint on increasing agricultural production in the future will continue    to be agricultural land. AKST must focus on increasing output per unit of    land through technology and management practices.
 AKST investment to reduce greenhouse    gas emissions and provide other ecosystem services is another priority investment    area. Agriculture and land use contribute 32% of total GHG emissions (Stern,    2007). Thus, AKST investments to develop policies, technologies and    management strategies that reduce agriculture's contribution could facilitate    to decreasing global warming. This requires the development of new farming    systems, which use fewer technologies, produces less GHG, and builds on    indigenous knowledge to improve current cropping systems to be more    sustainable. These systems could include practices such as no-tillage systems,    integrated pest management strategies, integrated soil management    technologies, rotational grazing and support of mixed farming systems to    improve the nutrient cycling. A second, complementary type of AKST activity    is the de-
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