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Estimation of intellectual capital in the European Union using a knowledge model

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  • Jose Luis Alfaro Navarro

    ()
    (University of Castilla–La Mancha, Faculty of Economics and Business Administration of Albacete, Albacete, Spain)

  • Victor Raul Lopez Ruiz

    (University of Castilla–La Mancha, Faculty of Economics and Business Administration of Albacete, Albacete, Spain)

  • Domingo Nevado Pena

    (University of Castilla–La Mancha, Faculty of Law and Social Sciences of Ciudad Real, Ciudad Real, Spain)

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    Abstract

    This paper presents a model aimed at measuring intellectual capital as the potential knowledge of a country and apply it to the European Union. The method consists of activating accountable expenses, assumed to generate knowledge. In order to do so, efficiency indicators are used, derived from a summary of variables of structural, human and technological capitals by means of factor analysis. The results of this study for the EU25 in 2006 explain why Northern Europe has greater intellectual capital potential. They are more productive, as they manage and apply new technologies better. In human capital, Eastern countries have strong potential. The paper concludes that, at the conceptual level, this information should be used to design convergence policies and balanced development strategies to ensure economic growth.

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    Bibliographic Info

    Article provided by University of Rijeka, Faculty of Economics in its journal Zbornik radova Ekonomskog fakulteta u Rijeci/Proceedings of Rijeka Faculty of Economics.

    Volume (Year): 29 (2011)
    Issue (Month): 1 ()
    Pages: 109-132

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    Handle: RePEc:rfe:zbefri:v:29:y:2011:i:1:p:109-132

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    Related research

    Keywords: intellectual capital; knowledge economy; indicators; European Union;

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