THE ECONOMICS OF KNOWLEDGE AND LEARNING

Abstract

This chapter is about the production, diffusion and use of knowledge seen in an economic perspective. Fundamental distinctions between tacit and explicit knowledge and between know-how, know-why, know-what and know-who are related to distinctions between public/private and local/global knowledge. It is argued that the idea of the economy as being knowledge based is misleading and that we have moved into a learning economy where interactive learning is a key to economic performance of firms, regions and nations. This is one reason why a narrow economic perspective is insufficient. When it comes to understand industrial dynamics in the learning economy it is necessary to bring in other disciplines than economics in the analysis.

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