These proceedings from a conference with leading experts examines the hugely successful American model of technological and scientific innovation. They stress the critical importance of government funding of physical science for the realms of national security, education, and industry. Kent Hughes and Frederick M. Bush, both of the Woodrow Wilson International Center for Scholars, presented the Introduction and Opening Remarks. Dr. Shirley Ann Jackson, president of Renssalaer Polytechnic Institute, points to the failure of funding for the physical sciences to keep pace with the growth of the U.S. economy. While the life sciences have been more amply funded, Dr. Jackson notes that new medical discoveries often depend on advances in a number of disciplines in the physical sciences. The panel amplified many of Dr. Jackson's themes. Robert Helms, Dean of the Erik Jonsson School of Engineering and Computer Science at the University of Texas at Dallas, noted Sputnik and the U.S. space program as the magnet that drew many young people into careers in science and engineering, and argued that we need a similarly compelling mission today. Robert Doering of Texas Instruments pointed to the complementary role played by government and business in the world of semiconductors with the government providing critical support as a first customer and as a funder of needed research. John Stratton of Lockheed Martin made similar points about the defense industry by noting how the defense industrial base drew on federally funded basic research. A chart showing the history of government role as technology research funder is also included herein. [Additional sponsorship of this conference was provided by the AeA Texas Council, Greater Dallas Chamber of Commerce, and TechNet Texas.]