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Based on a representative national sample of 1564 academic researchers, we investigate the impacts of research grants and contracts on the nature and extent of faculty research and technology activities with industry. A particular focus is on understanding the independent contributions of industry and government grant sources on levels of industrial involvement. In addition to examining the source of grants, the study controls for a number of independent factors including: scientific field, research center affiliation, tenure status, and gender. Results suggest independent effects of grants and contracts on industrial activities. Grants and contracts from industry have a significant effect on academic researchers’ propensity to work with industry, as measured by an “industrial involvement scale.” Federally-sponsored grants also have an impact in increasing work with industry, but a more moderate one. Further, those with …