3 ms·
Its essentially a subsidy, and been abused for years. One clarifying point. Indirect is normally charged on top whatever the PI gets. So they don't "take out"
by SJC_Hacker 2y ago
Its essentially a subsidy, and been abused for years.
One clarifying point. Indirect is normally charged on top whatever the PI gets. So they don't "take out" 50% the total. They add 50% to the original grant. So if a researcher gets a $500k grant, 50% indirect would be $250k, and the total allocation is $750k.
- rayiner 2y agoThat sounds similar to cost plus in the defense sector.
- fraggleysun 2y agoIt is different. Cost plus allows the contractors to charge for development and add a profit margin. The corporate equivalent would be a fixed price contract, which has overhead built in and far exceeds university rates.