Expression of the E. coli beta-galactosidase/neomycin phosphotransferase (betageo) fusion gene is driven by regulatory elements of the mouse Sox2 gene that are present within 5.7 kb upstream of the unique Not1 site in the 5' untranslated region (5'-UTR). Beta-galactosidase expression (visualized by X-gal staining) is confined almost entirely to the dorsal telencephalon in 12.5-d.p.c. transgenic embryos and becomes progressively more restricted as cortical development proceeds. Neural stem cells isolated from the ventricular zone of the telencephalon of 14.5-d.p.c. transgenic embryos stain with X-gal and are resistant to G418. In the adult brain, beta-galactosidase expression is observed in the periventricular cells of the lateral ventricle and in the rostral migratory stream reaching the olfactory bulb. (J:62026)