Ben Franklin, Where Are You?

This is from Bloomberg Businessweek 12/26/2009 & 1/4/2010 entitled: "Ben Franklin, Where Are You?" http://www.businessweek.com/magazine/content/09_52/b4161029131864.htm

In 2009, non-Americans were granted more US patents than resident inventors. This can be discussed in Marketing 11e, pages 124-126 and pages 47-48 in MKTG4.
Questions:
1. Why is innovation so important for American firms?

2. Many countries have cut taxes to stimulate investments in labs and equipment. The U.S.ranks only 17th in tax credits to spur research and development. Comment.