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Information Technology in The Learning Economy -Challenges for Developing Countries

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Author Info
Dieter Ernst
Bengt-Åke Lundvall

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Abstract

This paper inquires how the concept of the "learning economy" can be applied to the requirements of developing countries. The main purpose is to develop an analytical framework to better understand how learning and capability formation can foster industrial upgrading. Special emphasis is given to te spread of information technology (IT). We inquire under what conditions developing countries can use this set of generic technologies to improve their learning capabilities. We argue that information technology should not be regarded as a potential substitute for human skills and tacit knowledge. Instead, its main role should be to support the formation and use of tacit knowledge. In the paper we compare two stylised models of the learning economy, the Japanese versus the American model. The Japanese model is explicit in its promotion and exploitation of tacit knowledge, while the American model is driven by a permanent urge to reduce the importance of tacit knowledge and to transform it into information - that is into explicit, 4 well structured and codified knowledge. We show that each of these models has peculiar strengths and weaknesses. Developing countries need to develop their own hybrid forms of institutions that combine the advantages of both models in a way that is appropriate to their idiosyncratic needs and capabilities.

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Publisher Info
Paper provided by DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies in its series DRUID Working Papers with number 97-12.

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Date of creation: 1997
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Handle: RePEc:aal:abbswp:97-12

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Web page: http://www.druid.dk/

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Related research
Keywords: information technology; learning; learning economy; knowledge; capabilities; networks; developing countries; economic development; industrial upgrading;

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Find related papers by JEL classification:
L16 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Industrial Organization and Macroeconomics; Macroeconomic Industrial Structure
L86 - Industrial Organization - - Industry Studies: Services - - - Information and Internet Services; Computer Software
O10 - Economic Development, Technological Change, and Growth - - Economic Development - - - General
O14 - Economic Development, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology

References listed on IDEAS
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  1. Bengt-Åke Lundvall, 1996. "The Social Dimension of the Learning Economy," DRUID Working Papers 96-1, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies. [Downloadable!]
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Norbert Knoll, . "Progress Towards the Knowledge-Based Economy," WIFO Working Papers 161, WIFO. [Downloadable!]
  2. Jukka Kaisla, 1998. "The Market Process and the Emergence of the Firm Some Indications of Entrepreneurship Under Genuine uncertainty," DRUID Working Papers 98-17, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies. [Downloadable!]
  3. Boy Luethje, 2004. "Global Production Networks and Industrial Upgrading in China: The Case in Electronics Contract Manufacturing," Economics Study Area Working Papers 74, East-West Center, Economics Study Area. [Downloadable!]
  4. Bengt-Åke Lundvall & Frank Skov Kristensen, 1997. "Organisational Change, Innovation and Human Resource Development as a Response to Increased Competition," DRUID Working Papers 97-16, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies. [Downloadable!]
  5. Dieter Ernst, 1999. "Responses to the Crisis Constraints to a Rapid Trade Adjustment in East Asia´s Electronics Industry," DRUID Working Papers 99-2, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies. [Downloadable!]
  6. Alberto Melo, 2001. "The Innovation Systems of Latin America and the Caribbean," RES Working Papers 4283, Inter-American Development Bank, Research Department. [Downloadable!]
  7. Dieter Ernst, 2000. "Catching-Up and Post-Crisis Industrial Upgrading: Searching for New Sources of Growth in Korea's Electronics Industry," Economics Study Area Working Papers 02, East-West Center, Economics Study Area. [Downloadable!]
  8. Keld Laursen, 1998. "Do Export and Technological Specialisation Patterns Co-evolve in Terms of Convergence or Divergence? Evidence From 19 OECD Countries, 1971-1991," DRUID Working Papers 98-18, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies. [Downloadable!]
  9. Linsu Kim, 2001. "Knowledge Management: A New Perspective for Development Strategy," Economics Study Area Working Papers 12, East-West Center, Economics Study Area. [Downloadable!]
  10. Dieter Ernst, 2004. "Searching for a New Role in East Asian Regionlization: Japanese Production Networks in the Electronics Industry," Economics Study Area Working Papers 68, East-West Center, Economics Study Area. [Downloadable!]
  11. Saccone Donatella, 2008. "Economic openness, skill demand and skill supply in three archetypes of developing countries: A theoretical and empirical investigation," Department of Economics Working Papers 200813, University of Turin. [Downloadable!]
  12. Kirsten Foss & Nicolai J. Foss, 1999. "Organizing Economic Experiments The Role of Firms," DRUID Working Papers 99-5, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies. [Downloadable!]
  13. Dieter Ernst, 2002. "Global Production Networks And The Changing Geography Of Innovation Systems. Implications For Developing Countries," Economics of Innovation and New Technology, Taylor and Francis Journals, vol. 11(6), pages 497-523, January. [Downloadable!] (restricted)
    Other versions:
  14. Alberto Melo, 2001. "Los sistemas de innovación en América Latina y el Caribe," RES Working Papers 4284, Inter-American Development Bank, Research Department. [Downloadable!]
  15. K.J. Joseph, 2008. "Information Technology and Productivity: Evidence From India's Manufacturing Sector," Working Papers id:1418, esocialsciences.com. [Downloadable!]
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