What is a Knowledge-Based Economy and How Can We Benefit from its Coming?

It has been a long time since the advent of the knowledge economy was announced. The great change that is turning society upside down is upon us. But what does the knowledge economy really mean?

A knowledge-based economy is an economy based solely on the production, dissemination, and use of knowledge. In short, this means that what matters most in future economic models is knowledge and skills, not physical products. For more details regarding economy and business, you can simply browse https://vallartanoticias.com/.

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What is the difference?

At first glance, it may appear that there is little difference between the normal economic model and the knowledge-based model. In both, we simply create, buy and sell products and they look exactly the same. But if we take a closer look, everything changes. There are many reasons for this:

  • Knowledge is easy to imitate. When you have a good idea, everyone will quickly accept it unless you do something to prevent it.
  • Knowledge crosses borders more easily than material products. While China poses only a threat to some sectors of the US economy, the knowledge-based economic model requires that most US jobs be transferred to countries that have skilled labor but are much cheaper than the US (India and the East). ). is a good example of such places).
  • Knowledge ages quickly. You must be willing to continually build knowledge if you want to keep up with your competitors.

In short, a knowledge-based economy will create many problems for both small and large companies. Counterfeiting and copyright infringement will eat away at your bottom line, most contractors will move their work overseas, and your business (and the economy in general) will change at lightning speed.

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