Well, I'll give it a shot.
Basic research is where new ideas and new knowledge come from. It depends on how you define applied research. There are no agreements on what applied research actually is. One could say that all basic research is applied research or you could say the reverse.
If applied research is directed research to solve a particular problem, we support that, absolutely. We would support investment in that. Certainly, our granting councils—NSERC, for example—do support that as well.
The important thing is to recognize that we don't want to restrict the focus of our researchers unnecessarily. If they choose to work on applied problems, that is appropriate; it's their decision. But we don't want the funds available to be narrowed in any way.