Template-type: ReDIF-Paper 1.0
Author-Name: Mani, Sunil
Author-Email: mani@intech.unu.edu
Author-Workplace-Name: United Nations University, Institute for New Technologies
Title: Working with the Market: The Israeli Experience of Promoting R&D in the Enterprise
	 Sector and the Lessons for Developing Countries
Abstract: The purpose of this paper is to analyse the various ways in which the Israeli
	 Government is supporting R&D in industry and draw some lessons from this experience
	 for Developing Countries. The Israeli experience is rather unique in the sense that
	 it uses mainly one financial instrument, namely the research grants scheme
	 implemented by the Office of the Chief Scientist (OCS). The effectiveness of this
	 scheme in raising the nature of and extent of innovative activity in the country
	 has been the subject of a very lively and informed debate in Israel. In this
	 Discussion Paper I not only take stock of this debate but also subject it to a
	 detailed empirical scrutiny. There are two basic conclusions. The phenomenal growth
	 of the Venture Capital (VC) industry (originally promoted by the state) is now
	 becoming a competitor to the research grant scheme. But the main lesson for
	 Developing Countries is the fact that it is the adequate supply of high-quality
	 human resource that has played a part in making the research grant scheme a
	 successful instrument. The research grant scheme is thus an effective way for the
	 state to work with the market in promoting innovations in enterprises
Keywords: Innovation Policy, Research Grants, Israel
Series: Discussion Paper
Creation-Date: 2001
Number: 2001-09
File-URL: https://www.merit.unu.edu/publications/discussion-papers/2001-9.pdf
File-Format: application/pdf
File-Size: 257 Kb
Handle: RePEc:unm:unuint:200109