The federal tax credit for research and experimentation expired at the end of 2005. Congress faces a number of questions as it considers whether to reinstate and extend this credit. For example, has the credit been an effective incentive? Should it be redesigned for greater efficiency? What can the state research tax credit experience teach us?

These and other questions will be discussed by Daniel J. Wilson of the Federal Reserve Bank of San Francisco, Julian Y. Kim of Latham & Watkins, and AEI scholar Alan D. Viard. AEI director of economic policy studies Kevin A. Hassett will moderate.