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Growing beyond the catch-up model of imitative innovations, Korea has considerably expanded its national R&D budget since the 1990s. However, the rapid expansion brought about a decentralization of the national R&D programs by competing ministries, thus raising significant concerns about inter-ministerial duplication and overlap. Ratified in 2001, the Framework Act on Science and Technology (FAST) instituted a central coordination mechanism for national R&D programs. Adopting the ‘institutional system’ perspective, this paper examines the role of the FAST in coordinating and integrating national R&D programs. This paper emphasizes the significance of the integrity and interconnectivity of institutional components, including the National Science and Technology Council, national R&D planning, and performance evaluation. It also highlights the importance of an organizational body with the requisite capabilities for effective operation of legal institutions as well as the significant effects of informal institutions in bureaucracy.
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