Most analysts believe that the future of the manufacturing sector in the U.S. is integrally tied to maintaining our historical lead in high technology. In recent years, however, the ability of our research ecosystem to sustain a leading global position has come into question, especially as new competitors emerge, such as China, which churns out huge numbers of new scientists and engineers and increases its research and development (R&D) expenditures at a 20% annual rate. Adding to the concerns is a perception that American firms are outsourcing so much R&D that it will only add to the erosion of high technology industries. The latest National Science Foundation Science and Engineering Indicators shed some new light on the debate about outsourcing. But before turning to the raw data, I want to make a slight detour into anecdote.