Is there anyone can explain me the difference between the knowledge economy and knowledge-based economy? I have done some research, but I could not find any good articles explain the difference between knowledge economy and knowledge-based economy clearly.
Hi Abrar:
From what I can gather in reading a lot about the Knowledge Economy, I think that they are the same thing - like Kleenex and facial tissues... people may be interchanging the terminology - but there may be others who want to create or delineate a new area of study that may be a tad more "nit-picky" about semantics... remember, you get six academics in a room and you get anywhere from 8 to 12 opinions...
Knowledge Based View (KBV) vs. the Resource Based View (RBV) is the difference between the firm having ownership and control over the knowledge and using that to achieve a market advantage (RBV) (Penrose and to a certain point Porter) versus what the individual knows and learns. KBV views knowledge as an intangible that an individual has, but shares with the organization (Nonaka, Perez, Lundvall, etc.). The shift from manufacturing to services in the economies of developed countries has reinforced this view. The "Knowledge Economy" (Drucker, 1969) has been explained by the OECD in the Oslo Manual (2005) as being:
“The knowledge-based economy” is an expression coined to describe trends in advanced economies towards greater dependence on knowledge, information and high skill levels, and the increasing need for ready access to all of these by the business and public sectors. Knowledge and technology have become increasingly complex, raising the importance of links between firms and other organisations as a way to acquire specialised knowledge. A parallel economic development has been the growth of innovation in services in advanced economies.”
Lundvall (2009) says that the knowledge is a "learning economy" because the new technology has to be learned, used, understood, and exploited for innovation.
Hope this helps a little bit!
Brian
I reckon, there is no fundamental difference. Only framing in words differ.
Hi Abrar,
I agree with earlier responses to your question. These terms are used interchangeably. The theoretical basis can be found in RBV (Resource-based view of the firm) and its special case in terms of KBV (Knowledge-based view of the firm).
Meliha
Dear Abrar Asghar, In my opinion, the concepts are synonymous. Knowledge based economy means broadly understood economic knowledge, while knowledge economy means rather a specific economy (of a specific country, countries or internationally, globally, i.e. in the macroeconomic scope) based on knowledge (in which knowledge, innovation, technology, etc., constitute one of the key production factors). ) and possibly in relation to the economy of a specific economic entity (in microeconomic terms) that develops in the field of new technologies, in a sector or branch of the economy in which knowledge, innovation, technology, etc. are key resources of production factors. Greetings,
Dariusz Prokopowicz