WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE. <ARTICLE> 6 <CIK> 0000893739 <NAME> HARRIS & HARRIS GROUP, INC. <PERIOD TYPE> 12-MOS <FISCAL-YEAR-END> DEC-31-1997 <PERIOD-END> DEC-31-1997 <INVESTMENTS-AT-COST> 30,500,498 <INVESTMENTS-AT-VALUE> 38,659,230 <RECEIVABLES> 111,106 <ASSETS-OTHER> 272,734 <OTHER-ITEMS-ASSETS> 85,126 <TOTAL-ASSETS> 39,273,784 <PAYABLE-FOR-SECURITIES> 0 <SENIOR-LONG-TERM-DEBT> 0 <OTHER-ITEMS-LIABILITIES> 5,618,850 <TOTAL-LIABILITIES> 5,618,650 <SENIOR-EQUITY> 0 <PAID-IN-CAPITAL-COMMON> 16,178,979 <SHARES-COMMON-STOCK> 10,692,971 <SHARES-COMMON-PRIOR> 10,442,682 <ACCUMULATED-NII-CURRENT> 0 <OVERDISTRIBUTION-NII> 0 <ACCUMULATED-NET-GAINS> 12,028,191 <OVERDISTRIBUTION-GAINS> 0 <ACCUM-APPREC-OR-DEPREC> 5,340,834 <NET-ASSETS> 33,654,934 <DIVIDEND-INCOME> 0 <INTEREST-INCOME> 490,807 <OTHER-INCOME> 123,239 <EXPENSES-NET> 3,045,290 <NET-INVESTMENT-INCOME> (1,498,141) <REALIZED-GAINS-CURRENT> (2,079,677) <APPREC-INCREASE-CURRENT> 969,243 <NET-CHANGE-FROM-OPS> (2,608,575) <EQUALIZATION> 0 <DISTRIBUTIONS-OF-INCOME> 0 <DISTRIBUTIONS-OF-GAINS> 0 <DISTRIBUTIONS-OTHER> 0 <NUMBER-OF-SHARES-SOLD> 0 <NUMBER-OF-SHARES-REDEEMED> 0 <SHARES-REINVESTED> 0 <NET-CHANGE-IN-ASSETS> (2,608,575) <ACCUMULATED-NII-PRIOR> 0 <ACCUMULATED-GAINS-PRIOR> 0 <OVERDISTRIB-NII-PRIOR> 0 <OVERDIST-NET-GAINS-PRIOR> 0 <GROSS-ADVISORY-FEES> 0 <INTEREST-EXPENSE> 0 <GROSS-EXPENSE> 0 <AVERAGE-NET-ASSETS> 34,793,768 <PER-SHARE-NAV-BEGIN> 3.44 <PER-SHARE-NII> 0 <PER-SHARE-GAIN-APPREC> 0 <PER-SHARE-DIVIDEND> 0 <PER-SHARE-DISTRIBUTIONS> 0 <RETURNS-OF-CAPITAL> 0 <PER-SHARE-NAV-END> 3.15 <EXPENSE-RATIO> 0 <AVG-DEBT-OUTSTANDING> 0 <AVG-DEBT-PER-SHARE> 0