The Knowledge-based Economy: A Sisyphus Model

Abstract

The current fashionable emphasis on the knowledge-based economy is missing the real significance of the dichotomy between tacit and codified knowledge. A continuing input of tacit knowledge is essential to sustained innovation and growth. Without this, the modern thrust towards codification based on IT can lead to an economy with plenty of processing capacity but no new knowledge to process.

Keywords:

• tacit knowledge
• codified knowledge
• knowledge-based economy
• taxonomy of information