This paper provides a brief overview of research priority setting methods a
t various levels in national research systems, noting the changing emphasis
from supply- to demand-driven approaches at both macro- and micro-levels o
f priority setting. The scope for incorporating a poverty dimension into pr
iority setting is then reviewed within a general framework that recognises
the complexity of the link between research investments and poverty allevia
tion. The effectiveness of this targeting is likely to be very situation sp
ecific. A case study of macro priority setting in Pakistan shows the limite
d scope to target benefits to the poor through reallocation of research res
ources among commodities, relative to a ranking based on the efficiency obj
ective. Given present knowledge, enhancing the efficiency and effectiveness
of research systems in promoting broad-based technical change should be em
phasised more than major efforts to target poverty directly. This will invo
lve a combination of supply- and demand-driven approaches to priority setti
ng at different levels in the research system that will enhance both the ef
ficiency and poverty alleviation impacts of research. (C) 2000 Elsevier Sci
ence Ltd. All rights reserved.