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Summary
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The promised economy
In the past 15 years, Israel's innovative high-tech sector, despite ongoing political and economic upheaval, has become the world's second most important high-tech cluster after Silicon Valley. Israel now has nearly as many companies listed on NASDAQ as all of Europe does, and in the year 2000 the country attracted $2.5 billion in foreign venture capital investment—more investment per capita than any other country.

The take-away: The NASDAQ meltdown may have put a damper on the Israeli high-tech sector's stellar performance. But the market correction has also masked favorable shifts in investor interest as the Israeli high-tech economy becomes more integrated into a broad global investor base.
  


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