The office of the chief scientist and the financing of high tech research and development, 2000-2010

The Office of the Chief Scientist (OCS) provides public financing for high tech Research and Development. This article describes the OCS and its evolution since 2000, and assesses the government's response to crises in venture capital financing during 2001-03 and 2008-10. It finds that the government's response was inadequate in 2001-03; the OCS budget was reduced, and essential reforms were adopted belatedly. In 2008-10, the picture is mixed; the OCS budget was increased in 2009, then reduced in 2010. In July 2010, the government proposed a comprehensive package of reforms, whose impact remains to be seen.