A few years ago, economist Omer Moav published a study documenting Israel's "brain drain": the troublingly high rate of Israeli academics--PhDs and other highly educated types--leaving Israel for more lucrative positions abroad.
Now, Prime Minister Netanyahu has announced that he's trying to find ways to draw them back. (He charmingly stated that he plans to "vacuum-suck" them back.)
The problem may not seem severe but Moav showed that the problem is more than a statistical blip: Israel produces top-notch scholars, but loses them to other countries because Israeli universities cannot pay enough to keep them (they also may not offer enough time and resources to compete with conditions abroad).
When the "best and brightest" leave, Israel pays on a number of levels: economically, educationally, and in diminished morale.
In a 2005 article from Yediot Aharonot on the topic, Prof. Eyal Winter of the Hebrew University described a recent visit to Cornell University in upstate New York: After Winter's lecture, a former student now studying at Cornell invited him to join her for a Rosh Hashana dinner with other Israelis. Winter recalled:
I thought I was going to meet five or six Israelis, but I was amazed to find about 50 young Israelis in their thirties at the dinner. All of them were staff members at the university, or in the final stages of completing their dissertation, and all of them already had good job offers from leading universities in the U.S.
Netanyahu is proposing the creation of a special fund designed to lure back the top 300 Israeli scientists now doing research abroad.